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How big are the balls of Google to lay off thousands and then do 70 BILLION in stock buyback?
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Pray for folks at Tesla
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Why is Bay Area terribly dressed?
Hey, Say that there is an early startup at 10M valuation in seed round, and say that they are offering you 1% equity if you join now. Instead of joining the startup and working 4 years to get the 1%, can't I invest in the startup as an angel investor with 100K to get the 1%, that way I don't need to be working for the company for 4 years, and I can do this with different startups and it would be like working in multiple startups in terms of the potential exits. Am I missing a point here?
$100k is a minimum buy-in for most companies and most people don’t have $100k to throw on black. It’s that whole “The best way to become rich is already be rich” thing.
Not to mention they need to be actively raising funds in a round. You can’t just ‘buy shares’ like a public company whenever you please.
The startups that you probably want to invest 100K into aren’t raising $$ from angel investors. They likely have VCs at the initial stages to leverage their network But you’re right in a financial sense. Joining startups @ 1% equity (which would mean really early stage) isn’t worth the risk. Might as well do your own to make the switch financially viable
You’re missing the point that your 100k could evaporate based on other people’s decisions, and likely very fast in a manner you can’t intervene with to control. You are not factoring your risk.
I know my 100k can evaporate, however my main point is that if I join the company, then my time will evaporate, and it is easier to replace 100k than my time. Doesn't the risk stay the same when I invest 100k vs working there?
Will your time truly evaporate while you build experience and make connections that could have huge impacts down the road, developing your skills and forming a product or company with your own influence and control? My opinion is the risk is wildly different, one adds dollars and experience, the other provides a gamble and very little personal growth. Time is significantly more valuable than money, but there is more to the equation.