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Is it a creditable offer? Unless you have a dollar value, given to you over lunch within 1-2 days of being contacted it likely isn't. Fake offers a common way t
by valarauca1 11y ago
Is it a creditable offer? Unless you have a dollar value, given to you over lunch within 1-2 days of being contacted it likely isn't. Fake offers a common way to spy on competators in the Valley, and bad offers are common tool by Apple/Google/Amazon to get a closer look at your tech (they're a waste of time).
The first bullet point is more about startup accuqisution. Then individual project sales, just wanted to cover it. If the library/code is open source this is a job offer with a large signing bonus. Keep this in mind, research the companies average salary, as well as the field's average salary.
What ever the company offers you will roughly be 1/3rd of what they can afford to spend on your product. Generally profit margines are projected at 3-4x investment, use this when negotiating. Typically counter their initial offer by countering with ~75% larger offer then what was given. Use this to test the waters, if they are actually interested they'll negoitate, if they squirm they aren't that interested. But this assumes your finicially secure to bluff the initial offer.
If they insist on your salary being part of the acquisition offer you are an asset attached at the hip to your library. Keep this in mind.