1
Correction: I meant to say Google Cloud Platform instead of GCE.
This is due to when employees leave companies, they only have 90 days to exercise their vested options and they don't have the money to cover the strike price.
Is there any company that took this advice and changed their employees grant option policy?
[1] http://blog.samaltman.com/employee-equity
How much is the equity worth on the following scenarios?
Scenario #1 (everyone is fully vested)
- Your equity is 1% with $0.10/share strike price (common stock)
- Investors own 20% with $20M invested (preferred stock)
- Founders own 70% (founder stock)
- Employee own 9% (common stock)
- The company is acquired for $30M.
Scenario #2 (everyone is fully vested) - Everything is same as above except the company is acuired for $50M
Scenario #3 (everyone is fully vested) - Everything is same as above except the company is acuired for $100M
Let me know if I am missing other data.