Startups · 1h ago
Startup Equity Is 'Ownership Theater,' Not Real Ownership
Equity grants often include a 90-day window to buy shares after leaving, which most employees can't afford. Liquidation preferences mean common stock gets little in typical exits. The author argues this system is designed to extract owner-like behavior without giving real ownership.
Meridian48 take
This critique of startup equity structures is valid but not new; it underscores a systemic issue that founders and VCs rarely address.
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