This highlights another point: as an employee holding common options, your interests are not aligned with the investors or founders.
Investors still win in the "small win" scenario outlined. Founders will generally still get something financially (depending on just how bad the deal was) and can almost universally turn the "small win" bad exit into "advisory" roles or more favorable terms next time they play the startup game. As an employee, you get nothing.
Comments
This highlights another point: as an employee holding common options, your interests are not aligned with the investors or founders.
Investors still win in the "small win" scenario outlined. Founders will generally still get something financially (depending on just how bad the deal was) and can almost universally turn the "small win" bad exit into "advisory" roles or more favorable terms next time they play the startup game. As an employee, you get nothing.
True. I wrote a blog post about this 18 months ago that outlines just this: http://2pasc.com/2012/05/18/the-power-law-of-startup-employe...