Founder secondary sales

Secondary sale planning: sell enough to change your life, not enough to break alignment.

A founder secondary sale can reduce personal risk while preserving upside and credibility. The hard part is deciding the size, timing, and message around the sale.

Questions before selling

• What personal risk disappears if this sale closes?
• How much founder stock remains after the sale?
• Who approves the transfer and what investor rights apply?
• Will the sale happen in a company tender, private secondary, acquisition, or IPO-related window?
• What investment policy will receive the proceeds?

Common mistake

Founders often model only the sale proceeds. The better model includes the remaining founder stake, expected dilution, personal burn, family goals, and the chance that no second liquidity event arrives soon.

Read founder stock planning and use the liquidity checklist before the sale process accelerates.