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Facebook and Google both created literally thousands of millionaires, IIRC. Bad news, though: power law distributions of startup returns have some really tooth
by patio11 12y ago
Facebook and Google both created literally thousands of millionaires, IIRC. Bad news, though: power law distributions of startup returns have some really toothy consequences for employees as well as for investors.
There exist some less famous answers I could give here but they would be socially embarrassing to friends/colleagues. Let's put it this way: IPOs are public, right? Each of them allocates 10%ish of the market cap to employees. If you guessed employees 1 to 100 split half of that you wouldn't be insanely off base. If 5% of market cap is $100 million...
Another thing you could do, if you're interested, is look up the Angels participating in an early round in a recent startup and check out their LinkedIn profiles. Most have an obvious tuple of (Company, Start Date) which itself explains accredited investor status.
- limeyx 12y agoIPO's are not public in the sense that they make public who gets what (except at the top levels), they are an initial public offering of stock. How many % is allocated to employees is a very complicated process depending on how much dilution happens and if any down-rounds have happened, or funding needed to be done in a rush (look at say Box ...) I believe VC's generally want an options pool for non-founders/early employees of around 15-25% but every company is going to be a bit different.