Using Options as Currency

from the new-business-models dept

Of course, just about anyone who’s started up a company in the Valley these days knows this fact all too well: your stock options are your currency for everything. From consultants, to recruiters, to real estate agents, pay ’em all in options. Of course there are a ton of problems associated with this, which the article just barely touches on. The concept that you have a lot of potentially very angry folks if something goes wrong with the company, for instance. If these are the service providers you’re relying on… it might have been better just to have been paying them in cash.

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