EuclidCapital2

Congrats on your success hitting these milestones. And v. good that you have proper contracting in place to deal with this.

My advice is since there is a contract in place, you should follow the letter of it. You shouldn't try to re-write it in "moralistic terms." Its' a slippery slope once you start going down that, who "deserves" what. Did she "screw" you by under-performing more than you "screw" her by firing her for under-performance? There are no answers.

So: Didn't work out, we had language in the contract that specifies what happens when it doesn't work out and there it is.

After three weeks, you'll be glad that you don't have 4% of "legacy equity" on your ownership table. And in 2 years, when your new, brilliant, terribly hard working engineer gets options for 0.5% you'll really be glad!

Normally would be done as: he buys stock, the company has "repurchase rights" over those shares, repurchase rights "vest" / "expire" ratable over 3-4rys. (your case 2yrs).

This would be a term in your "Stock Purchase Agreement" (if you were a corp).

Woodward,

SF will beat Boulder by a mile. SF is a "company town" everybody's employed by the "company" (tech industry).

Plus, good news about SF is that these internet co's are always going out of business freeing up the talent at a good rate. Think supernova seeding the universe. So even if Boulder had more CS than SF (doubtful) they'd all be employed by big companies that have great benefits,etc.

But don't take my word for it. Advertise your job on craigslist SF and craigslist Boulder and see what comes back.