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by ibarea277 2637 days ago
This people do not understand the math of startup comp. If you get equity instead of cash, you could have taken that cash and just put it into as high a risk investment as you want. As such, startups are really offering access to an illiquid investment (but how sure are you it's better than other options), and forced risk-taking with some short-term tax benenfits (most people wouldn't put 10-20% of their income into one stock and you pay tax up front). You could go to google, put 30% of your income into crypto, and have some thing a lot like a startup risk/reward profile w/ a lot more liquidity. It's just that that feels riskier to people. Startup is only a great deal financial for the founders.