Plaid offer
offer 300k/0/300k base/joining bonus/yearly equity Current TC: 450k This is for a staff role and I am currently at L5. My worry is that the plaid equity is based on highly inflated valuation.
Ask when their last 409A was. If it’s fairly recent it should be okay.
I think it is not a recent one. It is based on 13b valuation.
ask your recruiter when it was done. I’ve walked away from companies that told me their last one was in early 2021.
Plaid equity is shit, take 1/3rd of what is offered
That 300k equity is realistically more like 180k or so. Or even less, if you consider other fintechs are valued much lower from their peak valuations. Do you know if they'll have liquidity events or if you can sell those equities. If not it seems like a pretty bad offer.
It is reported 1.1B by valuations.fyi, more than 90% down, use your own judgement though:https://valuations.fyi/company/plaid
This^, secondary market is the only true measurement of the company's value.
Thanks. I will probably gonna skip.
This year someone traded the equity in secondary market for just around 100 (582 for 13b), there is official report in public. The company is conducting silent layoff this week, named as reorg.
Don’t join plaid. Recent ex plaid, equity is down, but that is not the problem. I see no way for the company to get back to even 1/3 of the valuation. Competition from stripe, finicity etc is killing us. New products are not getting any traction while old products are losing customers. I will not be surprised if the company closes down in 2 years.
You speak of the thing that other ppl would be afraid to talk about. Agreed the concern now is not on valuations, but whether the company can survive. It was bloated too much during pandemic, which adds to burden for it to even survive.
“I will not be surprised if the company closes down in 2 years” This is an insane take. There is zero chance that this happens
Bunch of layoffs are happening here right now and morale is trending to a new all time low. I’d steer clear.
"Bunch of layoffs" is a bad exaggeration, and morale is perfectly fine in my part of the company.
Multiple roles confirmed to be let go, including EM, IC eng, PM, designer, isn't it correct that bunch or layoffs are happening? Morale is at all time low in my team and among folks I know at Plaid. CEO's email framed as expanding the leadership without mentioning layoffs at all, no sympathy no respect to those affected. Wait to see massive layoff next year.
Even if Plaid’s value dipped, it won’t dip long. They rolled out 4 products over the summer. Digital ID is going to be tied to your bank account. Who is best suited to provide that capability among aggregators? Plaid. That will be bigger than Google’s ad revenue when pay by bank takes off in the US.
What does pay by bank mean? Is it different than a debit card? Launching new products is never a problem, it is getting customers for those products. Most of our products use raw banking data and process it to achieve an outcome. Historically, our customers have always preferred to take raw data from us and do that processing themselves as per their use case. Take signal for example, it was a great product, I was really excited about it, but, Venmo does not want signal. They want raw data so that they can incorporate that raw data along with other information and design a signal product custom to their needs. Anyways, sorry for the negativity, I am just jaded from my time at Plaid. Hope it turns around, I only benefit from Plaid’s success.
lol classic - this dude says plaid is going to be out of business within 2 years, and he doesn’t even know what pay by bank is. Visa has 500b+ market cap. One of their biggest lines of business is online debit. Visa tried to buy plaid out of business. Will leave it at that…we’re not some HR SaaS business. The tam and potential are massive if you understand it.
What is valuation for the equity? If it is 13bn discount by 10. I see even 1.1bn as optimistic. It has 150-200mn revenue and margin is low, and likely negative by now. Zero chance of margin increase in this space
Your information is out of date
What is out of date? Even valuations.fyi has this info.
Is it 409a valuation or the valuation at the last round?
I think both are the same around 13b
Plaid raised at around 2021. So they are basically saying they are worth the same as 2021 which is an extreme outlier in the fintech space. Extreme!