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Be careful about equity and options!

Berkonomics

Here is the warning: The execution of equity allocations and of a good incentive program using equity is often mismanaged, damaging the corporate capitalization structure and even affecting the outcome of subsequent investment into the company. … Equity is divided between the founders and the business begun.

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Careful about equity and options in early stage businesses

Berkonomics

For those negotiating equity allocations it covers some of the most complex issues to address in the process. Equity is divided between the founders and the business begun. How about the price per share? The price per share for option grants is also an important consideration. This post is longer than usual.

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Equity is the currency of early stage businesses.

Berkonomics

Equity is divided between the founders and the business begun. Email readers continue here.] Each grant to new or existing employees must be approved by the board before issue. The price per share for option grants is also an important consideration. a share, then options must be priced at that amount.

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