equity vesting

Time Horizon

The four year standard creates a deliberate friction against immediate liquidity. A one year cliff acts as an initial filter where zero shares transfer until twelve months of service conclude. Monthly accrual follows this initial threshold until the total allocation transfers completely.

Founders face a measurable opportunity cost in hours and foregone salary during this multiyear accrual period.

Forfeiture Threshold

Unvested equity remains vulnerable to total loss upon separation from the operating seat regardless of the circumstances surrounding the departure. Accelerated clauses alter this baseline by transferring ownership upon specific triggers such as acquisition or involuntary termination without cause. Double trigger acceleration requires both a corporate sale and a subsequent loss of position before unearned shares fully mature.

Treasury Return

Repurchase rights grant the corporation authority to buy back unvested shares at nominal cost upon employment cessation. This administrative recovery preserves the capitalization table for incoming talent without requiring complex legal settlements. Residual equity ownership depends entirely on surviving these termination conditions while maintaining the operational seat.