Unvested Shares: What They Are and How They Work
This question causes a lot of confusion. The confusion likely stems from a misunderstanding of how vesting actually works. How Vesting Actually Works Vesting refers to the process by which employees earn shares over time. While it may seem like employees earn a certain number of shares for every month they work, this isn’t technically…
What Happens to Startup Stock When You Leave The Company
All good things must come to an end. If you’re leaving a startup with equity, it’s essential to understand exactly what you’re walking away with. This article will help you understand your position and make smart decisions as you exit the startup. Leaving With a Stock Grant Most startup stock comes with a vesting schedule….
Alternative Equity Compensation: Guide for Startups
Equity compensation in startups is generally issued in the form of a restricted stock grant (RSA) or a stock option. Every once in a while, startups may consider alternative equity compensation. This article will help you understand the alternative equity compensation options. Since these are much more rare, founders should definitely work with counsel to…
What Happens to the Option Pool If a Startup Is Acquired?
The treatment of the option pool is an important term in an acquisition negotiation. This article will help founders and employees better understand how the option pool is handled at acquisition. Treatment of the Option Pool in an Acquisition The treatment of the option pool in an acquisition depends on the terms of the deal….
