2 ms·
As most people here point out, hard to say without more details. Here's the simplest practical advice I can offer: if you have any options vested and have not e
by joshjkim 11y ago
As most people here point out, hard to say without more details. Here's the simplest practical advice I can offer: if you have any options vested and have not exercised, buy them immediately so that you become a voting shareholder. It will cost some $$ that you may never see back (tho hopefully very little, since angel-stage), but it will buy you some leverage. Even if it's a fraction of a percent, as a shareholder you can vote on the transaction and even though the founders / angels will have a majority and be able to push the deal through regardless, dissenting shareholders are always a major concern for buyer/seller in M&A, and so you can have some impact on the deal.
Most deals like this will be set-up to have key employees and founders work for buyer at least 18-24 months, and while I understand you don't want to do this the bottom line is in deals like this, developers like you, and your willingness to work on product integration, ARE the value so if you're unwilling to do that then there may be no deal, but more likely you just won't be able to realize very much of the deal's value since the buyer will set it up to make sure only people who stick around are compensated. Not much you can really do about that.
In fact, if you want to be machiavellian about it all, one play would be to make your founders and buyer believe that you REALLY wanted to work at buyer so that buyer got comfortable with putting more of the consideration upfront and not-tied to vesting - this would be somewhat dishonest IMO but people do it (I've seen it happen for $200M+ deals...). Contra, if you expose that you don't really want to work with buyer, they will certainly tie any consideration to vesting/earnout.
Best advice is be honest about what you want and ask for it (really the only people who can answer the rest of your questions are the founders and buyer - these are exactly the questions that get hammered out in deal terms), but also be empathetic and hear out why others might have different priorities - ultimately a deal like this is one team being absorbed by another team, all made out of people with divergent interests, so you just have to make compromises.