Interesting RSU conversation this weekend. One of my college buddies was in town for the weekend. He’s a C level biz dev guy in the digital world and has been for well over 2 decades. He makes a big salary but the equity is what drives him. He’s in digital health and has helped turn his current employer from near bankruptcy a few years ago to signing deals with some of the biggest players in the space. They have a $1B + valuation and should have a liquidity event (IPO or sale in next few years). He is 2 months from fully vesting in his equity and even if they wanted to get rid of him they couldnt before that anniversary. He just told the CEO you need to reload me with equity or Im leaving. I asked him why he would leave with the company on the verge of great things on his efforts. He said no more upside and he can take his show lots of places.
He’s coming up on 60 and held big equity positions in 5 different ehealth start ups that he acquired the last 13 years through employment or as an advisor. Last year he was able to cash in on 2 of them and has learned the value of spreading his chips around. He has been in the biz since the 80’s and founded an internet company he sold. The acquirer was on the verge of a merger with a major Telco that the CEO blocked because he wanted to be CEO of merged company only for the Internet bubble to burst and my friend along with his co-founders and employees each lost over $10M. So now he will only work someplace 3 to 4 years to fully vest unless they reload his equity. He’s got one maybe two more chances and when he’s done he’ll be coming here. Looking forward to it. great guy, great friend
