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8 Keys To Maximizing Your New Venture Stock Net Worth

Startup Professionals Musings

Make sure the government waits for a stock sale to collect taxes. This is the purpose of a vesting schedule, which issues allocated stock over time. Key founder vesting should have no cliff. Accelerate your own vesting if pushed out or the startup is acquired. Limit board seats and manage member selection criteria.

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Arif Bhalwani, CEO of Third Eye Capital, on the ‘Golden Age’ of the Private Credit Market

The Startup Magazine

The increasing inflow of capital into private credit necessitates rigorous underwriting standards and disciplined risk management. Strategic capital was invested in rationalizing and updating the product line and tapping into new sales channels that aligned with emerging industry trends.

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How To Prevent Your Founder’s Shares From Vaporizing

Startup Professionals Musings

Make sure the government waits for a stock sale to collect taxes. This is the purpose of a vesting schedule, which issues allocated stock over time. Key founder vesting should have no cliff. Accelerate your own vesting if pushed out or the startup is acquired. Limit board seats and manage member selection criteria.

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Watch out for the most common scam in startup world?—?Sputnik ATX

Austin Startup

Another red flag is when a SIC member asks for equity in your company upfront, without any performance vesting standards. Rule Number Two: when giving equity, it should always vest over time for performance tied to measurable goals such as sales or results that move your KPIs. This is a bad deal for you, if you take it.

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Should You Negotiate Ownership Options In A Startup?

Startup Professionals Musings

By the way, you will normally only be offered “options,” which vest over a 4-year period after a 1-year “cliff.” CEO brought in to replace the founder, 5 - 10% CTO, CFO, VP of Marketing or Sales, 1.5 - 3% Chief Engineer or Architect, 1 - 1.5% 7% Product Manager,2 -.3% Advisory Board Member, 1% Senior Engineer,3 -.7%

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How to Launch Your Own Startup Part 4 (money, culture and becoming a manager)

The Next Web

Today, in steps 10-12 I want to discuss with you raising your first round of money, hiring to develop and maintain your company culture, as well as defining your role in the management of your startup. But never give away shares without vesting. Your first salesperson who brings in your first customer is not likely to be your VP Sales.

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10 Startup Founder Decisions That Have No Good Answer

Startup Professionals Musings

Giving equity is realistic, but base it on contribution and role, with vesting after time and milestones. Later you need specialists and managers. If you take investor money, expect a push for hockey-stick growth and a liquidity event, like going public (IPO) or sale (M&A), to get the payback. The founder succession dilemma.

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