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Comment Size of the ride metric. (Score 1) 124

One metric you can use for evaluating compensation deals is the size of the ride(tm)

To calculate the size of the ride(tm) take the amount someone last paid for the stock (ask them or look it up) and multiply it by the number of shares they are offering you.

The size of the ride(tm) is interesting because it is the size of the investment you would get if you had money (and access) instead of talent. Think of it as the company "Placing a bet in your name".

You will find deal vary widely.

This is only one metric, but if it turns out that someone only made a 10K investment to get the same amount of stock that you get for 4 years work, in all likely hood you won't be getting rich, even if the founders do.

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