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Startup equity basics: What to ask before you accept | Human Interest

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Anisha Sekar has written for U.S. News and Marketwatch, and her work has been cited in Time, Marketplace, CNN and more. A personal finance enthusiast, she led NerdWallet's credit and debit card business, and currently writes about everything from getting out of debt to choosing the best health insurance plan. Table of contents So you’ve gotten an offer from an up-and-coming startup, and as part of your compensation package, you’re getting company stock on top of your salary. Congratulations! Before you get too starry-eyed, though, you’ll want to evaluate your offer carefully to make sure you’re not counting your chickens well before they hatch. You should be able to accurately assess the (potential) value of your equity offer to see how it stacks up against other offers you may have, and use your understanding to potentially negotiate a higher salary. We’ll walk through the basics of startup equity, the questions you should ask, and how to compare offers side-by-side. If you’re looking

LAST REVIEWED Jan 24 2024 18 MIN READ Editorial Policy By Anisha Sekar Anisha Sekar Anisha Sekar has written for U.S. News and Marketwatch, and her work has been cited in Time, Marketplace, CNN and more. A personal finance enthusiast, she led NerdWallet's credit and debit card business, and currently writes about everything from getting out of debt to choosing the best health insurance plan. Table of contents Equity basics: Understanding startup stock What questions should you ask when evaluating stock options? Comparing offers apples-to-apples So you’ve gotten an offer from an up-and-coming s

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