Ya... Preference means higher valuations means more cash. So employees can get less diluted (upside), higher salary (downside), and bigger team (derisking=both). Removing will lose those.
Removing preference may seem like it more strongly aligns existing team during critical events... But that'd get priced in to the above, say by 80% based on today's preferred vs common. Ouch!
Todays push to 1x participating vs higher in older days is great. I do agree about misalignment during some critical events..
Removing preference may seem like it more strongly aligns existing team during critical events... But that'd get priced in to the above, say by 80% based on today's preferred vs common. Ouch!
Todays push to 1x participating vs higher in older days is great. I do agree about misalignment during some critical events..