Both Sides of the Table

MARCH 21, 2010

A “warrant&# is a right, but not an obligation for a company to buy stock in your company at a future date and at a pre-agreed price. Think of it as similar to an employee stock option. So let’s think first about employee options and how they can be similar to company warrants. Guidelines: 1.

Warrant 298

Warrant Dilution Startup Stock Options 298

Genuine VC

SEPTEMBER 5, 2012

Proactively solicit input to create a board deck template and metrics dashboard to present at the first Board Meeting, so that you’re able to set a strong in-control tone. Foundation for New Employee Hires Formulate and socialize with the Board acceptable compensation bands (both salary and equity options) for new employees.

Founder 156

Founder Cap Table Stock Options PR 156

The Startup Magazine

AUGUST 6, 2021

If your vision is powerful enough, you can make up for this by offering recruits stock options. Then, even if their salary is low, your employees would have the option of selling these options at a later date, if the company succeeds. Many startups recruit employees in this way.

Limited Liability Company 167

Limited Liability Company Silicon Valley Business Model Stock Options 167

Tim Keane

JANUARY 12, 2010

These include: ·       Vesting of Founder Stock. Especially in situations where the founders have a large position and are key employees, it is not uncommon for investors to request that they agree to have some portion of their holdings vest on a schedule.

Term Sheet 68

Term Sheet Valuation Dividend Liquidation Preference 68

Gust

NOVEMBER 4, 2011

This discussion expands on my Quora answer to a specific question: “ Why were the stock options of MySpace employees worthless even though the company was sold to News Corporation for hundreds of millions? ” The complete story includes a startup-within-a-startup, investments and exits by two VC firms, and some genuine corporate drama.

Valuation 98

Valuation Pre-Money Valuation Merger Vesting 98

Berkonomics

DECEMBER 6, 2012

How often do you take the time to rate your employee-associates? Is it really worth the time and effort when measured from the perspective of the company and of the employee? There are many formats for use in rating and reviewing employees, and selection of the proper form and format is the first step in a successful process.

Stock Options 61

Stock Options Metrics Employee Stock 61

Duct Tape Marketing

JANUARY 24, 2012

Sharing ownership with employees has become much more popular in the world of Internet startups and IPOs. The idea is that if people have stock they’ll be more productive. The problem with this mentality however is that if employees don’t have psychic ownership first and foremost, real ownership probably won’t benefit anyone.

Salary 75

Salary Stock Options Equity Stock 75

Berkonomics

NOVEMBER 7, 2019

Is it worth the time and effort when measured from the perspective of the company and of the employee? What metrics will you use to fairly evaluate each direct report? There are many formats for use in rating and reviewing employees, and selection of the proper form and format is the first step in a successful process.

Warrant 48

Warrant Metrics Stock Options Employee 48

Austin Startup

SEPTEMBER 19, 2017

Especially in early rounds — pre-seed and seed— when there are limited sales metrics and only early signs of product-market fit, these advisors help complete “the package” so to speak, providing a useful industry reference to investors and filling in the gaps in domain expertise that are common in disruptive tech-first founding teams.

Advisory Board 48

Advisory Board Sweat Equity Marketing Vertical 48

Board Effect

MAY 10, 2019

Cap tables list a company’s authorized and outstanding shares, the parties to which those shares have been assigned, and the various metrics relevant to managing them. Such metrics can include an investor’s liquidation preference, option exercise windows and expiry dates, and shareholders’ fully diluted ownership percentages.

Cap Table 40

Cap Table Liquidation Preference Dilution Liquidity Event 40

A Smart Bear: Startups and Marketing for Geeks

MARCH 11, 2014

How many employees would a medium-sized business have in your definition? Jason: If I’m managing my whole business with this tool, I don’t have 100 employees. you can’t have one employee because meetings are just too easy and you don’t really have them formally. You can’t have 5,000 employees.

Technical Cofounder 220

Technical Cofounder Cofounder Software Review Management 220

Hunter Walker

MAY 1, 2016

I spend a lot of time creating plans and then finding concise ways to share them with the teams, get their buy-in, and then hold them accountable to the metrics we’ve identified. Startups change quickly, and the most valuable employee is a smart go-getter who’s willing wear any hat and learn as much as possible along the way.

New York City 48

New York City New York Los Angeles Startup 48

Hunter Walker

MAY 1, 2016

I spend a lot of time creating plans and then finding concise ways to share them with the teams, get their buy-in, and then hold them accountable to the metrics we’ve identified. Startups change quickly, and the most valuable employee is a smart go-getter who’s willing wear any hat and learn as much as possible along the way.

New York City 48

New York City New York Los Angeles Startup 48

Cracking the Code

JUNE 24, 2021

But the Valley in 1999 was a new world of startups, venture capital, and stock options. Internally, we also worked a lot on our general principles around the way we work for our employees, crowdsourcing them at a company offsite in 2013. It was like a foreign language to me - I’d never heard of any of this before.

Global 62

Global Europe France Cofounder 62

Board Effect

MAY 13, 2019

This involves adding columns to list the dollar amount invested, quantity of shares, percentage of ownership, and other applicable metrics (on the x-axis) to accommodate new investors (listed on the y-axis). However, many businesses offer stock options as an incentive to attract executive talent. is par for the course.

Cap Table 40

Cap Table Management Liquidity Event Dilution 40

Both Sides of the Table

SEPTEMBER 18, 2014

There were no metrics. Him: On metrics. If we priced it based on any metrics your company would likely be worth less than 7 figures at your A round. Less than you’ll probably grant your most junior employees in stock options? Stock Option plans. So a convertible note was easier.

Venture Capital 417

Venture Capital Liquidation Preference Valuation Term Sheet 417

Ben's Blog

APRIL 28, 2010

Andy Grove was Intel’s third employee (after the two cofounders Robert Noyce and Gordon E. This knowledge becomes the foundation on top of which a gigantic knowledge pyramid gets built which includes: Knowledge of every employee who gets hired and why. were the driving force behind Intel and IBM, respectively. Thomas Watson, Sr.

Technical Review 78

Technical Review Cofounder Technical Cofounder Software Review 78

Gust

SEPTEMBER 17, 2014

There were no metrics. Him: On metrics. If we priced it based on any metrics your company would likely be worth less than 7 figures at your A round. Less than you’ll probably grant your most junior employees in stock options? Stock Option plans. So a convertible note was easier. Your A round?

Liquidation Preference 153

Liquidation Preference Valuation Term Sheet Stock 153

Reid Hoffman

DECEMBER 10, 2020

it took years for Airbnb’s metrics to really start accelerating. To honor the Alliance it had made with those former employees, Airbnb waived the usual vesting cliff so that they could exercise their stock options, and provided generous severance packages. Now here’s an interesting coda to that story.

Hosting 69

Hosting Hockey Stick IPO Silicon Valley 69