vest

Definition

In startup culture, to gradually earn ownership rights to company equity over time (usually 4 years), ensuring employees don't just grab the cash and run.

Example Usage

Your stock options vest over four years, so stick around if you want to actually own a piece of this unicorn.

Source: Silicon Valley terminology

Related Terms

Intermediate

management fee

The annual fee (typically 2% of committed capital) that VC fund managers charge to keep the lights on, whether or not they make good investments. The guaranteed money that pays for offices, salaries, and kombucha before carried interest kicks in.

🚀 Startup / VC

Beginner

bootstrapped

Building a company with personal savings, credit cards, and stress ulcers instead of venture capital—either a badge of honor or an excuse for slow growth, depending on your exit results. It's entrepreneurship on hard mode.

🚀 Startup / VC

Beginner

unit economics

The revenue and costs associated with a single customer or transaction, supposedly proving your business model works before you scale. Often the awkward math that reveals you lose money on every sale but plan to make it up in volume.

🚀 Startup / VC

Advanced

negative churn

When expansion revenue from existing customers exceeds lost revenue from cancellations, the holy grail of SaaS metrics. It's losing customers but somehow making more money anyway.

🚀 Startup / VC

Intermediate

anchor investor

The first major investor who commits to a fund or round, giving others confidence to follow. Like the first person to dance at a party—everyone was waiting for someone brave (or drunk) enough to start.

🚀 Startup / VC

Intermediate

vested

The magical moment when stock options or retirement contributions officially become yours to keep, transforming from corporate dangling carrot into actual ownership. It's the golden handcuffs' lock clicking shut, ensuring you'll think twice before rage-quitting. The startup world's version of 'you must be this loyal to ride this rocket ship.'

🚀 Startup / VC

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