From 5f1dd685f8d2897d263b6ad6ebd5b4b638394fa8 Mon Sep 17 00:00:00 2001 From: Nathan Schneider Date: Fri, 19 Sep 2025 12:47:32 -0600 Subject: [PATCH] Oops, fixed legal-snippet file naming --- content/legal-snippets/airbnb-compensatory.md | 23 ++++++------------- .../legal-snippets/workers-capital-rder.md | 20 ++++++++++++++++ 2 files changed, 27 insertions(+), 16 deletions(-) create mode 100644 content/legal-snippets/workers-capital-rder.md diff --git a/content/legal-snippets/airbnb-compensatory.md b/content/legal-snippets/airbnb-compensatory.md index fca119d..ccf41b2 100644 --- a/content/legal-snippets/airbnb-compensatory.md +++ b/content/legal-snippets/airbnb-compensatory.md @@ -1,20 +1,11 @@ --- -title: Workers Capital Rider -description: A rider for investment terms that helps ensure a worker-friendly outcome, developed by Eduardo Cabral of Triple Beam Advisors. +title: Airbnb RFC on compensatory offerings +description: In 2018, as it approached an IPO, Airbnb submitted a letter to the US Securities and Exchange Commission requesting permission to distribute shares to users. The permission was not granted. tags: - - cooperative - - investment -external_url: https://www.triplebeamadvisors.com/ +- Exit +- Filing +- Public-policy +- United-States +external_url: https://www.sec.gov/comments/s7-18-18/s71818-4403356-175575.pdf files_media: ../../Exit%20to%20Community%20Stories%20&%20Strategies%202ee6f9c491af45648511f5df33c5cfc5/s71818-4403356-175575.pdf --- - -1. Reserve **X%** of the total financing round (or **$Xk**) for investors committed to: - 1. A **capped return model**, targeting no more than **X% IRR or a fixed MOIC**, with excess gains recycled into employee equity pools or retained for other company purposes; and/or - 2. **Aligned exit incentives** whereby upon a Corporate Transaction (or other to-be-agreed milestones), investors recoup any gain on their invested capital _only_ if employee ownership pools or other forms of incentive equity (excluding those granted to the founders) also receive at least 50% of the full liquidity they are entitled to under the waterfall provisions (or otherwise distributions will be prorated as needed to ensure an equitable distribution to the employees). -2. **Prioritize Shared-Risk & Embedded Shared-Outcome Structures**: Collaborate with Investors who embrace frameworks inspired by solidarity economics and cooperative finance, such as: - 1. **Profit-sharing**: Returns tied to enterprise success, not fixed interest; - 2. **Worker-Investor Covenants**: Mechanisms (e.g., side agreements, SAFE-like instruments) to ensure capital providers share both upside and downside risk with labor stakeholders. - 3. **Worker Friendly Governance**: Optionality for economic rebalancing (e.g., redistributive equity pools triggered at exit). - 4. **Vesting-Adjusted Dividends**: Investor dividends accrue but only vest upon equivalent employee profit-sharing milestones. -3. **Transparency & Accountability**: - 1. Report annually on progress toward sourcing solidarity-aligned capital, including challenges faced. diff --git a/content/legal-snippets/workers-capital-rder.md b/content/legal-snippets/workers-capital-rder.md new file mode 100644 index 0000000..fca119d --- /dev/null +++ b/content/legal-snippets/workers-capital-rder.md @@ -0,0 +1,20 @@ +--- +title: Workers Capital Rider +description: A rider for investment terms that helps ensure a worker-friendly outcome, developed by Eduardo Cabral of Triple Beam Advisors. +tags: + - cooperative + - investment +external_url: https://www.triplebeamadvisors.com/ +files_media: ../../Exit%20to%20Community%20Stories%20&%20Strategies%202ee6f9c491af45648511f5df33c5cfc5/s71818-4403356-175575.pdf +--- + +1. Reserve **X%** of the total financing round (or **$Xk**) for investors committed to: + 1. A **capped return model**, targeting no more than **X% IRR or a fixed MOIC**, with excess gains recycled into employee equity pools or retained for other company purposes; and/or + 2. **Aligned exit incentives** whereby upon a Corporate Transaction (or other to-be-agreed milestones), investors recoup any gain on their invested capital _only_ if employee ownership pools or other forms of incentive equity (excluding those granted to the founders) also receive at least 50% of the full liquidity they are entitled to under the waterfall provisions (or otherwise distributions will be prorated as needed to ensure an equitable distribution to the employees). +2. **Prioritize Shared-Risk & Embedded Shared-Outcome Structures**: Collaborate with Investors who embrace frameworks inspired by solidarity economics and cooperative finance, such as: + 1. **Profit-sharing**: Returns tied to enterprise success, not fixed interest; + 2. **Worker-Investor Covenants**: Mechanisms (e.g., side agreements, SAFE-like instruments) to ensure capital providers share both upside and downside risk with labor stakeholders. + 3. **Worker Friendly Governance**: Optionality for economic rebalancing (e.g., redistributive equity pools triggered at exit). + 4. **Vesting-Adjusted Dividends**: Investor dividends accrue but only vest upon equivalent employee profit-sharing milestones. +3. **Transparency & Accountability**: + 1. Report annually on progress toward sourcing solidarity-aligned capital, including challenges faced.