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Old 05-06-2008, 06:00 PM
gekkoplus gekkoplus is offline
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Default Stock Options as a salary component?

What's the usual practice of structuring salary (base salary and stock options) for a job? I am interested in knowing what % of salary should options be? I don't seem to find a good baseline in order to open up any negotiation talks on a new job offer.

I have been offered 1000 stock options over a fixed base salary on a new job, and I was wondering how to evaluate whether 1000 stock options is a fair or less-than-fair number. In case if I ask them to increase my stock options to let's say 2000, how much base salary should I be willing to forego?

I understand that value of options depend upon growth potential of the stock. But I could find any standard valuation technique to quantify "growth potential" of a stock and determine any reliable projected value of options after the options vest.

Last edited by gekkoplus : 05-06-2008 at 06:04 PM.
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