tag:blogger.com,1999:blog-3554166144204741789.post1807219285840535430..comments2023-12-31T02:16:32.747-08:00Comments on 1-800-MAGIC: Risk vs. RewardSergey Solyanikhttp://www.blogger.com/profile/03811112928687191837noreply@blogger.comBlogger4125tag:blogger.com,1999:blog-3554166144204741789.post-69494195218944224262008-01-27T17:50:00.000-08:002008-01-27T17:50:00.000-08:00GP gets paid when the exec leaves - on his or her ...GP gets paid when the exec leaves - on his or her own volition or otherwise... But in my calculations I assumes that the CEO stays on a job for longer time in the case of organic growth, so no GP money is paid in that case.Sergey Solyanikhttps://www.blogger.com/profile/03811112928687191837noreply@blogger.comtag:blogger.com,1999:blog-3554166144204741789.post-21441787967616752742008-01-24T23:47:00.000-08:002008-01-24T23:47:00.000-08:00I mean that firing itself is less likely for an or...I mean that firing itself is less likely for an organic growth. No firing means no GP.<BR/><BR/>If so, then formula for an organic growth may bring even less income for a CEO:<BR/>"Organic growth: ((1 + 0.10)^5 - 1) * 10M(stock options) = $6M."<BR/><BR/>Or GP works anyway?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-3554166144204741789.post-69826814449697646122008-01-24T09:35:00.000-08:002008-01-24T09:35:00.000-08:00You mean - getting fired and receiving the money u...You mean - getting fired and receiving the money under the GP contract? Yes, of course!Sergey Solyanikhttps://www.blogger.com/profile/03811112928687191837noreply@blogger.comtag:blogger.com,1999:blog-3554166144204741789.post-54516621575605131192008-01-23T03:34:00.000-08:002008-01-23T03:34:00.000-08:00It seems to me that golden parachute is less proba...It seems to me that golden parachute is less probable for an organic growth than it is for a risky project case. Could it be so?Anonymousnoreply@blogger.com