Tenders, here at last!

It’s a great start to the year for startup employee liquidity as we’ve heard 3 different companies are offering fairly sizable tenders for their employees. No, they aren’t 2021 prices or volume but the fact that there is liquidity coming back into the market is a great indicator for the year.

Tender offers are great as they show investor willingness to invest. Late stage company investing has taken a bit hit the last two years and signs of investors willing to buy common is great.

Second, tenders mean liquidity in the pocket of investors and employees. For investors, they can finally distribute to their LPs and hopefully most of that money will be recycled.

For employees, the draught for liquidity is over for some. They will be able to cash out on their shares and perhaps move on to their next startup. More than anything, this is a positive signal for other startup employees as well. Liquidity may be coming and the belief in startup equity is not dead.