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Taking money off the table

(zachholman.com)
135 points holman | 1 comments | 30 Oct 25 18:50 UTC | HN request time: 0.207s | source
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mason55 ◴[30 Oct 25 19:38 UTC] No.45764374[source]▶
A 10% tender offer isn't really an interesting discussion. You should take definitely take 10% off the table unless you're already pretty wealthy.

The interesting discussion is how much you should take off the table if the offer is uncapped.

replies(4): >>45764526 #>>45764629 #>>45765235 #>>45765698 #
1. hshdhdhehd ◴[30 Oct 25 21:40 UTC] No.45765698[source]▶
https://en.wikipedia.org/wiki/Kelly_criterion

Obviously you are guessing probabilities to plug in but they can be based on other exits etc. Someone in the know on startup equity could offer this as a consultation service.