Re:Thanks for the Bonus, I Quit
by maerF0x0 on Sunday April 18, 2021 @12:47PM
(#26854027)
are you, or anyone here, aware of a co-operative modeled SV style startup? I think 10yr (or 20 if that's possible) options is a good step towards that model so that you get back compensated for your contributions regardless of how long the investors resist IPO
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| on HN ]
if it's cooperative, then the workers are themselves the investors, and they would have had to put capital into the company. There's no need for options in that case (since those workers already would own the shares for putting in the capital!).
What you might be referring to is to have workers who _didn't_ put in capital, but still get given long dated options, along with their salary. This is funded by investors. So - the problem here is that there's no downside for the workers. If due to bad luck, they lose out on the value of the options, but still get paid their salary in the mean time, and yet get the upside of the long dated options should the company succeeds. The only people to lose out are the investors - who had to give up some of their shares (as options), for almost zero upside. I dont think it will work - no investor is going to be that sucker.