Faced with a 7- to 10-year IPO on-ramp, private companies are seeking alternate ways to unlock liquidity for early-stage investors and incentivize valued employees. High-profile pre-IPO companies, including Facebook, Zynga, and Twitter, have turned to private liquidity programs (PLPs) to enable investors and employees to cash out a portion of their shares.
Increasingly, cash flow positive companies in the middle private market are beginning to wonder whether they too should consider a PLP. Here are 10 questions to ask when considering such a transaction:
To read the full, original article click on this link: Need to cash out a bit pre-IPO? Consider a private liquidity program | VentureBeat
