Am I getting bamboozled? Private company offers RSUs with weird evaluation. /u/CwakrJax CSCQ protests reddit

I received an offer providing Double-trigger RSUs in private company. My understanding is this is usually based on the 409A evaluation, but after some prodding, they admitted to me it would be based on the most (fairly recent) Series D investor price instead of 409A.

My concern is that if they give me 200K worth of stock at the investor’s price, then the FMV of those shares would actually be significantly less given the 409A.

Could it be because they haven’t done a 409A and fast growth leads them to believe that the latest funding round is better representative of the FMV?

submitted by /u/CwakrJax
[link] [comments]

​r/cscareerquestions I received an offer providing Double-trigger RSUs in private company. My understanding is this is usually based on the 409A evaluation, but after some prodding, they admitted to me it would be based on the most (fairly recent) Series D investor price instead of 409A. My concern is that if they give me 200K worth of stock at the investor’s price, then the FMV of those shares would actually be significantly less given the 409A. Could it be because they haven’t done a 409A and fast growth leads them to believe that the latest funding round is better representative of the FMV? submitted by /u/CwakrJax [link] [comments] 

I received an offer providing Double-trigger RSUs in private company. My understanding is this is usually based on the 409A evaluation, but after some prodding, they admitted to me it would be based on the most (fairly recent) Series D investor price instead of 409A.

My concern is that if they give me 200K worth of stock at the investor’s price, then the FMV of those shares would actually be significantly less given the 409A.

Could it be because they haven’t done a 409A and fast growth leads them to believe that the latest funding round is better representative of the FMV?

submitted by /u/CwakrJax
[link] [comments] 

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