
Ask HN: Is it worth joining a startup that plans to sell in the next 5 years? - SamuelAdams
Context: the startup hopes to sell or be acquired in the next 5 years.
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IanDrake
Totally depends on the deal.

I was once offered a job with a good, but not great, salary in a geographic
region that was lite on IT jobs to which I would have to move.

The plan was for them to sell to a larger company in 2 years at which point
any sane buyer would move this remote facility to their HQ.

Based on my equity and they're target sale price I would gross 40k from the
sale, IF it ever happened.

No thanks. Maybe 20X that would have made it worth while since I'd be losing
about 100k a year in total compensation.

~~~
richardknop
You should have asked for relocation package. So they give you 20k signing
bonus and they rent a serviced apartment for you for first 6-12 months? That's
reasonable thing to ask for if you are going to relocate to some remote area.

~~~
IanDrake
I already had a house in the remote area.

In my experience, very few people have a similar life style to mine, which is
to say, complicated. And when explained, most people don't understand how or
why I would live like that.

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marssaxman
Don't most startups have similar hopes?

I am really puzzled about your perspective on job-hunting decisions, such that
you see this, and nothing else, as the relevant context which would allow any
of us here to give you useful advice.

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toomuchtodo
Depends entirely on the salary, option grant on the table, current 409A
valuation, estimated valuation (with numbers to back it up) in five years,
vesting schedule, etc. Don't forget to ask for a cap table, ask about
liquidation preferences, etc.

Also, if they need you badly enough, make sure to include provisions that if
an acquisition event occurs or your role changes materially from what you
agreed to, your remaining options vest immediately.

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BayAreaSmayArea
If startup is defined as a business focused on rapid growth and likely VC
funded I'd say that is the hope of nearly every one of them.

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freestockoption
Would they be a viable business after 5 years in the event they don't get
bought? If not, are they banking on the IP being worth something?

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tylerFowler
Yes! Depends on the company of course but if you have a decent amount of
equity it could be profitable for you. And sales don't always mean you're out
a job either.

Of course it's a gamble since the company might not be worth anything..

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JSeymourATL
Beyond compensation-- consider how you might be able to leverage the
experience you hope to gain to advance your career goals. Will it help you get
to the next thing?

Is the broader industry/niche they serve growing?

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muzani
I don't see why not. You would end up working with the acquiring company.
Often post acquisition jobs can be quite good, and it's an easier way to work
at something like Microsoft.

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segmondy
Nope. In my opinion, Any startup that has that as their exit strategy is not
going to hit it big. They already have a ceiling.

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savethefuture
Get vested, then profit on the sale.

