How does working for a Startup compare to working as a Non-captive?
A4: Big companies have good benefits, but since their stock price remains steady, getting stock options for working there don’t help much. Instead, many risk-takers consider working for an exciting start-up company; a new company on the bleeding edge of technology. They realize that they will have to work 60 to 80 hours a week, while getting paid for 40. They also realize that although they are receiving 20,000 stock options, they are worth only 25 cents a share, until the company is goes public in 2 to 3 years. That glorious first day of trading, though, this stock will go to some high number, say $25.00 a share. All of a sudden, they could be worth $500,000 more. However, there are a few catches: (1) 60% of start-up companies, that get funded by venture capitalists, go bankrupt. (2) A company has to be worth $20,000,000 before it is allowed to go on the stock market. (3) It usually takes more than 3 years for a company to reach $20,000,000 in worth. (4) You are usually not fully “ves