Doesn't that mean these the decision makers also don't have liquidity? If so, wouldn't the lack of liquidity not be for them still believing that there's a bigger payday behind the horizon? Still sucks if you want/need the cash now, of course.

Without employee power on the board, there's nothing to prevent leadership from issuing themselves a different class of stock.

Especially for pre-IPO companies that are beholden to fewer financial regulations.

Either you have power, or you have a promise.

... And promises depend on how much you trust your counterparty.

Are these experiences in the US? Asking because I imagine conditions would differ country to country.

US, U.K., EU - I mean, sure, maybe you’ll have better luck in Liberia.

Zuckerberg, Brin, WeWork Guy etc all first 50 employees of unicorns ... you saying that their 100's of billions are actually zero value because they are 100's of billions of funky employee-only stock that’s only saleable back to the company at nominal value?

Also why pay $3.5bn of tax on $0 of value? Given how sharp tech is about tax minimization you would think they would have better tax people.

They're not usually employees, they're owners. Adam Neumann even managed an extraordinary scam whereby he had the shares with voting power and the investors didn't. https://www.washingtonpost.com/business/2019/10/24/adam-neum...

Ahh ok, so Marissa Mayer then ... didn't make anything more than salary from being #20 employee at google?

Adam Neumann even managed an extraordinary scam of being currently worth 2x the company that made him all his money ...

Anyone reading this comment, know that this is the other end of the extreme to saying everyone does well. The truth is far more in the middle with many shades of grey.

Without data it is all just anecdotes. I don't know where the definitive data is to say it is white or black, or reasonable characterized as gray rather than a shade of one of the two extremes. IPO data is public of course, but not the pre-IPO contortions affecting the set up for that moment.

At least in the US, this will only be true before a company goes public. After that point, the shares will all be freely salable and have the same value (except for a small premium for supervoting shares which some founders may retain).