Archive for category: Private Companies

Home Private Companies

If a start-up terminated an employee, is it required to allow them to exercise the relative portion of their stock option grant that is yet vested?

Feb 19,2016February 19, 2016

By adminIn Equity Compensation, Performance Units, Private Companies, Restricted Stock, RSU, SAR-Stock Appreciation Rights, Start-up Pay, Stock Options, We Have AnswersTags Private company, RSUs, start-up pay, start-ups, stock options, Termination of employee

Question: (org. on Quora) Answer (by Dan Walter) This is a fairly common question. The short answer is no. But, it...

What is the normal RSU policy for private companies? I recently got an offer from such company and they say that if I work for x years and I leave, I would get x more years to sell the RSUs otherwise they would expire. So if I leave after 1 year and no IPO in the next 2 years, I don’t get anything.

Sep 21,2015September 21, 2015

By adminIn Compensation Plan Design, Compensation Planning, Private Companies, Restricted Stock, RSU, We Have AnswersTags compensation plan design, compensation planning, ipo, private companies, rsu, RSUs

Question: (org. on Quora) Answer (by Dan Walter) The most common company policy for RSUs follows the basic structure below:...

How have you seen Stock Options or Performance Rights grants change for employees from Pre-IPO to Post-IPO?

Sep 09,2015September 9, 2015

By adminIn Compensation Plan Design, Compensation Planning, Equity Compensation, ESPP, Performance Units, Private Companies, Restricted Stock, RSU, SAR-Stock Appreciation Rights, Start-up Pay, Stock Options, We Have AnswersTags compensation plan design, compensation planning, equity compensation, ESPP, performance units, post-IPO, pre-IPO, private companies, rsu, RSUs, SARs, stock options

Question (Orig. on Quora): How have you seen Stock Options or Performance Rights grants change for employees from Pre-IPO to...

What’s the Right Size for Private Company Equity Compensation?

Aug 12,2015August 12, 2015

By adminIn Articles, Compensation Philosophy, Compensation Plan Design, Compensation Planning, Equity Compensation, ESPP, Performance Units, Private Companies, Restricted Stock, RSU, SAR-Stock Appreciation Rights, Stock OptionsTags compensation philosophy, compensation plan design, compensation planning, equity compensation, private companies

The most common question asked about equity compensation is only two words: “How much?” For private companies, it is frustratingly...

What happens with AMT if you exercise stock options in a private company and sell in the same year, but the sales price is less than the 409 value of the company?

Jun 18,2015June 18, 2015

By adminIn Private Companies, Stock Options, We Have AnswersTags Alternative Minimum Tax, Alternative Minimum Tax Income, AMT, private companies, stock options, we have answers

Question: (org. on Quora) What happens with AMT if you exercise stock options in a private company and sell in...

Would you or would you not exercise your stock options in this scenario?

Mar 04,2015March 4, 2015

By adminIn Communication, Equity Compensation, Long Term Incentives, Private Companies, Start-up Pay, Stock Options, We Have Answers

Question details (original on Quora) My strike price is $650, and the current fair market value is $1250 I must...

There is a start-up that has $5MM in revenues that wants me as an advisor to get them to $500MM. How much equity should I ask for?

Feb 23,2015February 23, 2015

By adminIn Other Rewards, Private Companies, Start-up Pay, We Have Answers

Additional Question details (orig. on Quora): CEO was only getting 3-5%. If that is the case, I can’t imagine they...

Startups: How can a startup provide the necessary diversity of projects to its employees?

Feb 02,2015February 2, 2015

By adminIn Career Advancement, Culture, Other Rewards, Private Companies, We Have Answers

Question from Quora As a software developer I worked at companies both large as well as small and I can...

What are the salaries and benefits for early stage employees in a startup, such as the first ten hires?

Feb 02,2015February 2, 2015

By adminIn Private Companies, Start-up Pay, We Have Answers

Question: I am writing my business plan now and I want to do some analysis on what other startups in Silicon...

For a pre-revenue, pre-seed, C-corp, what is the recommended form of equity compensation for advisors and independent contractors?

Jan 29,2015January 29, 2015

By adminIn Equity Compensation, Private Companies, Restricted Stock, RSU, SAR-Stock Appreciation Rights, Start-up Pay, Stock Options, We Have Answers

Question (orig. on Quora): What factors should be considered when deciding between NQSOs, ISOs, RSUs, etc.? Also, what is a...

1
2
3
4
…
6