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If there were 10 engineers, no one else, and no investors, and they each had 10% of the company, and that company sold for $100M, then they would have each gotten 10% of the company.

But that's not likely.

From the point of view of a buyer who spent $100M and got 10 engineers out of the deal, the cost was $10M/engineer, whether the engineers each got $10M injected into their pockets or not.




> From the point of view of a buyer who spent $100M and got 10 engineers out of the deal, the cost was $10M/engineer

That's not even so: he didn't buy the engineers, they are not his property and they are free to walk away the day after, so he hardly got them. For a day, OK :-)


Well, sure - you're right. They outlawed slavery; that's why they have lockup provisions.

In acquihire-land, that's the short-hand terminology that is often used. I'm sure there are more precise (and lengthy) ways to say the same thing.




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