Re:Lecture 18: Legal and Accounting Basics for Startups
by SeoxyS on Friday November 21, 2014 @03:41AM
(#8640395)
I agree... there's too much room to get screwed over royally with cofounder vesting cliffs. The equity stakes are so much higher founder, and the compensation is usually either mostly or entirely stock. That means that if there's a breakup, the founder who gets booted is completely screwed and lost a year of their life for nothing.
I wouldn't have a 1-year cliff for any below-market employees. I'd reserve 1-year cliffs for employees with market salaries that happen post-funding.
I wouldn't have a 1-year cliff for any below-market employees. I'd reserve 1-year cliffs for employees with market salaries that happen post-funding.