I just got an offer for a pre IPO company. The offer letter cites that the RSUs (not stock options) have a term limit of 7yrs. I was told that if the company does not IPO or does not get acquired in this time, these RSUs will be lost.
1. Is this common for pre IPO companies to have a term limit?
2. Assuming 25% vesting each year for 4 years, does the term limit apply to 25% in 7 years from today, another 25% in 1+7=8 years from today and so on? Or is all entire 100% in 7 years.
Tc :300K
#ipo #software #tech #rsu
Want to see the real deal?
More inside scoop? View in App
More inside scoop? View in App
blind
SUPPORT
FOLLOW US
DOWNLOAD THE APP:
FOLLOWING
Industries
Job Groups
- Software Engineering
- Product Management
- Information Technology
- Data Science & Analytics
- Management Consulting
- Hardware Engineering
- Design
- Sales
- Security
- Investment Banking & Sell Side
- Marketing
- Private Equity & Buy Side
- Corporate Finance
- Supply Chain
- Business Development
- Human Resources
- Operations
- Legal
- Admin
- Customer Service
- Communications
Return to Office
Work From Home
COVID-19
Layoffs
Investments & Money
Work Visa
Housing
Referrals
Job Openings
Startups
Office Life
Mental Health
HR Issues
Blockchain & Crypto
Fitness & Nutrition
Health Care & Insurance
Travel
Tax
Hobbies & Entertainment
Working Parents
Food & Dining
IPO
Side Jobs
Show more
SUPPORT
FOLLOW US
DOWNLOAD THE APP:
comments
2. all 100%
if they do expire before becoming liquid they will be reissued if you are currently employed. they don’t have to be, but i’ve never heard of that not happening. if you are not employed they will be lost
Here is a nice short read on how RSUs in private companies vest: https://flowfp.com/private-rsus/
This comment was deleted by original commenter.