Whatsinthename
Whatsinthename
Stealth

How many of you have generated substantial wealth through ESOP/RSU?

I joined my present company a year back, my peer has been here for 5 years and holds RSU's amounting to 1.5 crores (Share value got 4x in 5 years).

9mo ago
GlassSkin63
GlassSkin63
Stealth9mo

I consider all esops to be of zero value and they all turned out to be of zero value.

Versatile_writ
Versatile_writ
Stealth9mo

Start considering it to have value and things might change for the better

Sherlock007
Sherlock007
TCS9mo

If it's a startup with flawed biz model like Byju and vss then jump the boat.

Else, if in a listed firm with ebitda positive stick and book profits

Stillgrowing
Stillgrowing
Stealth9mo

I didn’t get substantial wealth since I was with the company for 1.5 years. I got around 6.5 lakhs after taxes deduction. But some of the older employees got 50 lakhs plus after taxes, and few above Cr. I sold half of my vested units.
Currently, though the startups valuation have decreased and I don’t think I will be getting any value for the remaining ones.

If there is a buyback event, do try to sell some of your vested units.
If the startup is generating profits, profits increasing and have a good MOAT then, it’s better to hold the units, but definitely do your analysis.

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