My Account
Report problem with this ad
Start a related thread
Start a related poll
Reply via Boardmail
Apr 23, 2024
4:07
:13
pm
2FarGone
No One of Consequence
I favor employee agreements
but if you need to do equity — and I don't know why — I am a fan of phantom stock
Start a related thread
Start a related poll
Reply via Boardmail
Report problem with this ad
2FarGone
Bio page
2FarGone
Joined
Mar 2, 2001
Last login
Jun 26, 2024
Total posts
46,487 (648 FO)
Report problem with this ad
Messages
Author
Time
New Business Equity Question
SpecialT
This Board Rating Has Been Fla
Apr 23, 3:42pm
The risk of a new start-up impacts everyone. Founders take a major financial risk. Employees take a big career risk if
Division Bell
Apr 23, 3:49pm
Depends on the company type. Is this service or software? Lifestyle or VC track?
insanobueno
Apr 23, 3:57pm
Also type of employee and risk/upside involved
insanobueno
Apr 23, 3:59pm
Not critical. Easily replaced IMO.
SpecialT
Apr 23, 4:00pm
Not VC track. It's a health/weightloss/telemed company. Unlikely to ever go through a transaction.
SpecialT
Apr 23, 4:00pm
I favor employee agreements
2FarGone
Apr 23, 4:07pm
The s election limits the type of equity you can
Pasadena
Apr 23, 4:22pm
A sophisticated employee would object to this because they can’t get
Pasadena
Apr 23, 4:26pm
What would your advice be if the company was expecting significant sales, and the employees were all founders?
Division Bell
Apr 23, 4:54pm
Sounds like management/owners should be aligned then since mgt are founders.
Pasadena
Apr 24, 12:13pm
But this would only pay off if there is a transaction in the future which he
sandtrapcougar
Apr 23, 5:03pm
Yeah, I couldn't tell if he was saying a sale is not likely in the future or
Pasadena
Apr 24, 12:17pm
Sounds like a profit sharing plan instead of Equity would be a better setup in
sandtrapcougar
Apr 23, 4:24pm
Report problem with this ad
Posting on CougarBoard
In order to post, you will need to either
sign up
or
log in
.
Report problem with this ad