Exercise Price

Every stock option has an exercise price, also called the strike price, which is the price at which a share can be bought.

Non-qualified Stock Options (NSO)

Non-qualified Stock Options (NSO) are stock options that, when exercised, result in ordinary income tax on the difference between the exercise price and the fair market value of the underlying shares.

ISOs v. NSOs: What’s the Difference? Blog Post

When a company issues options to US employees, there are two types it can choose from: incentive stock options (ISOs), which qualify for special tax treatment under the United States Internal Revenue Code, and non-qualified stock options (NSOs), which do not.

What You Should Know About Warrants Blog Post

UK review by Ryan Naftulin If you’re negotiating for an equity financing, bridge financing, bank financing, venture debt, or a commercial transaction for your startup, you may be asked to…

Employee Share Option Plans in Singapore Blog Post

After you set up your new company, one of the first legal documents you will be thinking about is an incentive equity plan, sometimes referred to as an “option plan”…

Secondary Sale

A secondary sale is the sale by an existing stockholder of shares in a private company to a third party that does not occur in connection with an acquisition of the company.

Option grant

An option grant is a right to acquire a set number of shares of stock of a company at a set price.


Section 409A of the Internal Revenue Code is a complex and often counterintuitive set of tax rules applicable to deferred compensation.

Negotiating the Venture Debt Term Sheet Blog Post

Now that you’ve decided that borrowing money is a better option than doing an equity round, how do you determine the terms of the loan? Venture debt lenders will typically…

Frequently Asked Questions: Convertible Debt Blog Post

I get questions all the time from clients who haven’t raised convertible debt before. If my clients frequently ask these questions, no doubt there are scores of others who have…