"Then, you leave with 2,500 shares and the company will usually pay you $6,000 for the unvested 7,500 shares."
What is the alternative? If I'm not there anymore, the remaining shares will never vest. Can the company just keep the $6,000 and I get nothing in return?
If the company decides to not buy the 7,500 shares back, then you get to keep them and they become the same as your other 2,500 shares. This is based on my conversations with from being in a similar situation, but I’m not a lawyer :)
while totally irrelevant to my current position as a student... I am really glad I read this and now will hopefully have this top of mind when I join a startup in the future. Gives me something to save towards haha (was never a car or house "fund" guy but maybe I could have an "early exercise to take advantage of QSBS and bet on myself and judgement" "fund".
"Then, you leave with 2,500 shares and the company will usually pay you $6,000 for the unvested 7,500 shares."
What is the alternative? If I'm not there anymore, the remaining shares will never vest. Can the company just keep the $6,000 and I get nothing in return?
If the company decides to not buy the 7,500 shares back, then you get to keep them and they become the same as your other 2,500 shares. This is based on my conversations with from being in a similar situation, but I’m not a lawyer :)
while totally irrelevant to my current position as a student... I am really glad I read this and now will hopefully have this top of mind when I join a startup in the future. Gives me something to save towards haha (was never a car or house "fund" guy but maybe I could have an "early exercise to take advantage of QSBS and bet on myself and judgement" "fund".
Thank you for the kind words! Completely agree that accumulating personal capital gives you more flexibility when joining startups :)