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by ymolodtsov
1082 days ago
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It could be a pretty good SME for the founders, but there are a few possible issues.
1. You have investors who expect returns and don't want (or can't have) dividends.
2. You have employees with stock options that want them to become something.
3. Your company could be set up as a C-Corp, if your intention is to have a stable business and earn dividends you'd rather have it as an LLC with founders as members. Basically, issues happen when you take VC money but don't end up going the growth startup path. Buffer had the same problem, but they managed to earn enough money to buy their investors out. |
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