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Carta’s Head of Insights on Dilution, Equity, and the State of the Market Right Now

Run the Numbers

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Navigating Employee Equity and Dilution

This chapter explores the complexities of employee equity grants, focusing on the implications of dilution for early-stage employees and the nuances of vested versus unvested equity. The discussion emphasizes the necessity for employees and founders to understand equity compensation in the context of market dynamics and negotiation strategies. Additionally, it highlights the importance of awareness around different types of equity and how these factors influence compensation and hiring practices across various locations.

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