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Turning Expiring Options Into Venture Exposure [Vested’s Dave Thornton] | #597
Today’s guest is Dave Thornton, co-founder & Chief Customer Officer of Vested, which helps startup employees unlock the value in their equity. In today’s episode, Dave walks through the messy reality of startup stock options, noting $600 billion of startup equity is abandoned over a market cycle. He explains how Vested helps solve this problem by providing funding to help employees exercise their expiring stock options, in exchange for exposure to a portion of the now-owned shares. Dave also previews Vestimate, a tool to track the fair-market value of your equity over time that’s already reducing abandonment, and shares practical takeaways for employees, advisors, and allocators seeking exposure to venture capital.
Key Points
- Many startup employees fail to exercise their stock options due to financial constraints, leading to significant stock option abandonment.
- Vested offers capital to startup employees to help them exercise their expiring options, acquiring shares at a discount and providing a diversified venture capital exposure to investors.
- The launch of the Vestimate tool aims to help startup employees track the value of their equity, potentially reducing stock option abandonment rates and fostering early engagement with Vested's services.
Chapters
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Transcript
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