ESO Fund

ESO Fund The ESO Fund (Employee Stock Option Fund) provides funding for employees of venture-backed companies

The ESO Fund provides funding for current and departing employees of select venture-backed companies, enabling them to exercise their stock options and pay the associated taxes. Through a unique partnering agreement, the Fund provides employees with the cash required to exercise their options and participates in the upside if the stock gains value through a sale or other event. If the stock become

s valueless, the Fund, not the employee, bears the loss. We provide a clear, straightforward, and employee-friendly approach to exercising stock options without financial stress.The unique structure of an ESO advance also eliminates most if not all of the Alternative Minimum Tax (AMT) normally associated with exercising stock options. For individuals who already own private stock, the ESO Fund can provide partial liquidity on the same terms which allows the owner to recover capital while still retaining the potential upside from the stock. For private companies that wish to estabish a liquidity program for employees, the ESO Fund's unique cash advance program provides an attractive alternative to secondary buyouts by providing liquidity without introducing the risk of new shareholders to the company. Moreover, using non-recourse advances is financially similar to selling, but it also retains employee loyalty through the preservation of upside potential.

2024 is in the books—here’s our take on how the year shaped the startup world. 🚀
02/04/2025

2024 is in the books—here’s our take on how the year shaped the startup world. 🚀

With 2024 behind us, we’re reflecting on how the year unfolded for the startup world.

Happy New Year from ESO Fund! Check out this month's edition of ESO's Monthly Start-Up for our take on the 2025 IPO Pipe...
01/07/2025

Happy New Year from ESO Fund! Check out this month's edition of ESO's Monthly Start-Up for our take on the 2025 IPO Pipeline and more.



Our thoughts on some of the 2025 IPO Hopefuls.

Check out the October edition of ESO's Monthly Start-Up! We explore how the shift to staying private longer impacts star...
10/01/2024

Check out the October edition of ESO's Monthly Start-Up! We explore how the shift to staying private longer impacts startup employees and the opportunities for liquidity through pre-IPO sales.



Explore how the shift to staying private longer impacts startup employees and the opportunities for liquidity through pre-IPO sales.

The fed is poised for a rate drop this month. What can we expect the immediate impacts on the venture ecosystem to be?Ch...
09/10/2024

The fed is poised for a rate drop this month. What can we expect the immediate impacts on the venture ecosystem to be?

Check out our analysis and more in September's edition of ESO's Monthly Start-Up!

The fed is poised for a rate drop this month. What can we expect the immediate impacts on the venture ecosystem to be?

08/09/2024

With the Reddit, Inc. IPO lockup ending today, we reviewed the equity outcomes for both investors and employees.

Check out our Reddit IPO case study below!

Reddit's IPO Lockup is finally over! Let's see how the social media giant's investors and employees did.

In 2020 and 2021, many tech startups had a strong chance of IPO success, boosting confidence among tech workers. However...
08/06/2024

In 2020 and 2021, many tech startups had a strong chance of IPO success, boosting confidence among tech workers. However, as the market cooled and success was harder to come by, enthusiasm for stock options and their potential diminished.

Check out our latest edition of ESO's Monthly Start-Up!

In 2020 and 2021, many tech startups had a strong chance of IPO success, boosting confidence among tech workers. These days, success is harder to come by.

After discussing the IPO environment last newsletter, it’s time to switch gears a bit and check in on the state of emplo...
05/07/2024

After discussing the IPO environment last newsletter, it’s time to switch gears a bit and check in on the state of employee equity.

Check out May's Issue of the Monthly Start-up for analysis on current compensation trends and how to better take control of your equity package.

After discussing the IPO environment last newsletter, it’s time to switch gears a bit and check in on the state of employee equity.

Given Reddit’s recent IPO, we thought it would be interesting to look back at the numbers, more specifically, how did Re...
04/02/2024

Given Reddit’s recent IPO, we thought it would be interesting to look back at the numbers, more specifically, how did Reddit’s employees and VC investors do?

Given Reddit’s recent IPO, we thought it would be interesting to look back at the numbers, more specifically, how Reddit’s employees and VC investors do?

Check out our latest edition of ESO's Monthly Start-Up!We dive into different ways to fund your option exercise, taxes, ...
03/06/2024

Check out our latest edition of ESO's Monthly Start-Up!

We dive into different ways to fund your option exercise, taxes, and as always cover the most newsworthy items in the Startup world from last month.

There are typically two types of financing options you can pursue for help financing your options, Debt Financing and Equity financing options.

In our latest edition of ESO's Monthly Start-Up we discuss a couple potential IPO candidates for 2024.
02/06/2024

In our latest edition of ESO's Monthly Start-Up we discuss a couple potential IPO candidates for 2024.

As the IPO markets threaten to heat up in 2024, we take a look at the next slough of IPO candidates.

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635 Mariners Island Boulevard, Suite 204
San Mateo, CA
94404

Opening Hours

Monday 9am - 6pm
Tuesday 9am - 6pm
Wednesday 9am - 6pm
Thursday 9am - 6pm
Friday 9am - 6pm

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Our Story

The ESO Fund provides funding for current and departing employees of select venture-backed companies, enabling them to exercise their stock options and pay the associated taxes. Through a unique partnering agreement, the Fund provides employees with the cash required to exercise their options and participates in the upside if the stock gains value through a sale or other event. If the stock becomes valueless, the Fund, not the employee, bears the loss. We provide a clear, straightforward, and employee-friendly approach to exercising stock options without financial stress.The unique structure of an ESO advance also eliminates most if not all of the Alternative Minimum Tax (AMT) normally associated with exercising stock options. For individuals who already own private stock, the ESO Fund can provide partial liquidity on the same terms which allows the owner to recover capital while still retaining the potential upside from the stock. For private companies that wish to estabish a liquidity program for employees, the ESO Fund's unique cash advance program provides an attractive alternative to secondary buyouts by providing liquidity without introducing the risk of new shareholders to the company. Moreover, using non-recourse advances is financially similar to selling, but it also retains employee loyalty through the preservation of upside potential.