Lyft job offers were a scam
Everyone who took lyft 300k+ offers that we’re mostly stock got bamboozled by lyft. The supposedly high valuation they had was a lie, this stock could hit 30$, in which case some of you probably saw a hit on TC instead of the big raise you thought. It’s also why google doesn’t match paper money, it’s just that - paper. Another thing I want to add here is that funding rounds are not reliable estimations of company value on the public market. Money is cheap, VCs need somewhere to put it. Surely there are financial analysts inside lyft and at large banks who had a realistic understanding of their real public market valuation. This was not and will never be communicated to rank and file employees
I like paper money
How much did they value the stock at when they gave em out? Shouldn’t it match up with the private market valuation (which is typically less than the valuation when they go public)?
They are paying people in hype, like hype is a currency. 3.50 hypes
Story of most pre IPO tech companies. There is always hype and only some live up to it!
OP, did you get bamboozled?
Paper money is paper.
I'll take all this unwanted paper money
The high valuation was real, that’s no scam. The public markets have valued it differently and it slid, but that’s the risk you accept for a newly public company.
I disagree with this. The valuation was real in the sense that VCs were willing to pay for equity at the high valuation price. But that’s not reality, there is an overflow of investment money with nowhere to put it. That money is cheap. They are happy to spend 20-50% more of that money than real prices.
If someone is putting real money down, that's real valuation. VCs are usually better than the market at valuing. It's the market that has changed in the last year. Cash is tighter, and there's less tolerance for not being profitable.
Pre-IPO offers were given out at a preferred price lower than the current public market price. So how were the offers a scam again?
I had an offer 6 months ago, gave me stock valuing $29.99 a share. Not a huge upside, but at least it is still 65% more
I signed an offer this week for Uber...I mean for me I guess it’s all upside if the stock price is low then the monthly average means I get more shares from the lump sum cash value. I’m not too worried about the long term since it’s just such a shitty day thanks to Trump and there’s probably a shit ton of shorting going on to make some money to offset losses elsewhere. If there’s a rally the stock should rally hard with the rest of the market.
Agreed. Whole market has been volatile with chinese trade wars
Yea duh. It's not a scam, it's business. If you don't have a basic understanding of a business don't join or at least don't complain.
It’s a business that’s been subsidized by vc money lol. There are literally no economies of scale here. Costs rise with scale. Good luck with that self driving car nonsense. We are at least a decade or two away for that to become mass market cuz the only way to realize that is via new infrastructure where idiots aren’t in control of their vehicles.
Uh, more like a couple of years hopefully. 20 years to get the last few percent on self driving would be ridiculous
That was the most probable outcome. Getting rekt I mean.