ZoomyPickle
ZoomyPickle

Looking for advice on pay/ESOP at a new firm

I'm switching PM jobs from my existing company (Series E unicorn) where I had a good ESOP policy to a smaller company (just past Seed stage, raising Series A).

Weirdly, they're not offering me a proper ESOP package (vague figures, no useful $ values mentioned in the offer) even though the salary offer is pretty good. Company culture is good & team seems happy during my interactions.

Should I be worried? Any suggestions on how I can approach this convo with co-founder are welcome too.

21mo ago
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JumpyHamster
JumpyHamster

Given that i had worked at seed /A, the fohnder believe that you prove your worth and then ask for esop in the next appraisal cycle. Plus you can ask for additional esop or leaner or faster vesting if they dont compensate for esops in year 1.

Also, at that stage the documentation on esops is shabby, so you have to follow up multiple times to have something clearly written.

ZoomyPickle
ZoomyPickle

Thank you! Exactly the guidance I was looking for.

JumpyHamster
JumpyHamster

Welcome, could tell your PM YOE and did you get a title jump?

SleepyMochi
SleepyMochi

Which company are you switching to?

ZoomyPickle
ZoomyPickle

Prefer not to disclose atm. I work in a slightly niche space within Fintech.

SleepyMochi
SleepyMochi

That's fair. I'm also looking to switch so just wanted to know which co's are still hitting

DizzyMuffin
DizzyMuffin
Google21mo

Words aren’t enough when it comes to money matters.

Ask them for valuation they had, esop pool size, how much percent equity, number of shares, vesting period, holding period from grant date and everything under the sun

ZoomyPickle
ZoomyPickle

Vesting period is the only thing that's clear, because they're following the regular 4-year with 1-year cliff format.

Everything else is fuzzy. I got the feeling they're reluctant to offer employees equity, but I don't know what that says about the mgmt.

Not sure if it's a red flag, or just their preferred way of building the start-up.

DizzyMuffin
DizzyMuffin
Google21mo

Anyways I think 1y will be cliff, if they don’t want you to have equity then they can fire you anytime

SleepyBurrito
SleepyBurrito

I honestly don't know what Series A founders expect from one's work to make them generously give more esops.

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