3 ms·

If he were a founder, then his options would have a nominal strike price and it wouldn't have been a financial hit for him to vest them.

• nemo44x 12y ago
  You forget about taxes. By the time of exit the fair market value of the stock likely greatly exceeds option grant strikes to founders creating a massive tax liability in the form of capital gains. Likely in the hundreds of thousands if not millions of dollars range.
  • zwily 12y ago
    I believe that most founders exercise early when the company is formed and do an 83b. It's the smart thing to do, anyway.
    • nemo44x 12y ago
      Yes that's an option if they planned well. But there still may be spread.