M6

JE
by Jessica Ewing2 views·Updated Dec 11, 2022
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  1. for this week's post, I decided to take a look into potential fields I may pursue.
  2. After graduation,
  3. I have began to learn a lot about startup companies As new companies grow,
  4. many provide their founding employees, competitive stock options.
  5. I view stock options as a motivator for the company to thrive,
  6. but also as equity that I can liquidate when I retire
  7. through my research.
  8. I have seen that many companies will offer
  9. either a higher salary or lower stock options
  10. or a lower salary with higher option, stock option,
  11. extensive research on the company's background and future would be needed
  12. to know if a potential company has a plan to expand,
  13. go public or may have problems in the future
  14. due to the common stock,
  15. due to common stock ability to fluctuate due from supply and demand.
  16. And my primary use of my stock options for being retirement,
  17. my ideal stock option would fall under
  18. convertible preferred with a competitive salary,
  19. but more stock options.
  20. That is only if the current companies book value is high,
  21. since there could be a higher financial benefit for myself when liquidating.
  22. This would also lead me to ask
  23. a few questions during negotiation.
  24. Are there liquidation periods?
  25. Is there a vesting schedule?
  26. What are the tax implications in the event of liquidation?
  27. Where do you and where do you see the company in 5 to 10 years?
  28. The only foreseen issue I can anticipate is not being able to
  29. obtain all of the needed information to make an educated decision.
  30. A potential resolution is negotiating better terms for the unknown
  31. aspects or since my stock options would be used to finance
  32. some of my retirement,
  33. I could find other third party options and take a higher salary.