What Can You Trade Performance-Based Equity For?
Fixed equity doesn’t let you get creative or give you flexibility. There are legal, tax and/or business reasons why you can’t grant options or restricted stock to anyone and everyone. Performance-Based Equity (PBE) is different. It’s more flexible like cash, except that instead of paying out the cash, you keep it as working capital. For … Continue reading "What Can You Trade Performance-Based Equity For?" Read more
Performance-Based Equity or Founders’ Stock: Which Should You Use and When?
Founding a startup isn’t just about raising money, delivering product, marketing, sales and more--as if those aren’t enough! It’s also about leadership and building a team. One of the first team issues you’re going to have to confront is how to divide equity up fairly and in a way that incentivizes everyone. This is true … Continue reading "Performance-Based Equity or Founders’ Stock: Which Should You Use and When?" Read more
Getting a Skeptical Co-Founder’s Buy-In on a Performance-Based Equity Structure
Let’s say you’ve got a co-founder. You’ve read our site and blog, and you see the clear benefits of moving to a Performance-Based Equity (PBE) Structure. Problem is that your co-founder doesn’t see them. That’s why we’re going to look at the most common objections to or concerns about PBE. This is the ammunition … Continue reading "Getting a Skeptical Co-Founder’s Buy-In on a Performance-Based Equity Structure" Read more
Do I Need an Attorney If I Use Upstock?
Generally, no. Yes, you will always need an attorney for everything from licensing, and founder agreements to corporate formations, transactions and intellectual property. But with Upstock, what you likely won’t need is to spend $10,000-$20,000 or more on static equity plan fees. Let’s look at this a bit more closely. Upstock helps you save money … Continue reading "Do I Need an Attorney If I Use Upstock?" Read more
10 Key Advantages of Switching to Performance-Based Equity
One of the most complicated tasks in a startup’s development is navigating the challenging conversations and decisions about splitting equity. In many or most situations, a Founder (or Founders), begin on the road of business ownership with one great idea: a product or service that they believe will be a profitable game changer for … Continue reading "10 Key Advantages of Switching to Performance-Based Equity" Read more
Why is Upstock Different?
In addition to allowing investors to buy equity in a company, equity can be promised to the company’s team. Our system makes "performance equity" accessible to all team members (including independent contractors and advisors), simply and easily, not just high profile investors or key employees. Team members accept a portion of their wages through a … Continue reading "Why is Upstock Different?" Read more