Revesting frequently enters the conversation when new capital comes into a company—particularly in connection with priced rounds. Investors may ask founders to extend or restart vesting to realign incentives and reduce retention risk.
What’s “market” on duration? Here’s what we found in a survey of our recent early-stage deals:
• 81% of founders revest over a 3–4 year period
• 14% negotiate down to 2 years
• 5% extend to 5 years
Questions to consider:
• Founders: Should vesting align with milestones instead of time?
• Funds: Is revesting a retention tool, a risk mitigator, or both?
• Lawyers: Which strategies and market data guide your negotiations?