A lot has been written about stock option grants, what they are, and how they work. I’ll spare you the minutia as you can read it elsewhere. One question I do get when I do consulting is how much to grant to employees versus directors etc…so here is a quick guide. Remember that only the percentage of the company really matters.

Another interesting note from Tomasz Tungz here that there has been a trend towards increasing cash compensation to startup management teams. Overall VPEs have seen cash increases of 10-16% and equity decreases of 17-19% and VPPs have had cash increases of 8-26% and equity decreases of 25-30%. My guess is that this is related to the size of rounds being larger lately and the companies being cash rich. What do you think?

What is Series FF Stock?
The New Series A