Founder Secondaries

Topic

Founder secondaries refer to transactions in which startup founders sell a portion of their personal equity to private investors, typically during later-stage venture capital funding rounds. This mechanism allows founders to obtain early liquidity and reduce their personal financial risk without waiting for a full company exit, such as an acquisition or initial public offering (IPO). By taking some 'money off the table,' founders can align their long-term incentives with investors while managing wealth concentration.