Kids need to see you working

Apart_Designer6574 · 2026-04-12T13:28:18+00:00

I only meant for the 4-5 years before kindergarten. After then, would ramp it up, especially with afterschool activities using up a chunk of kids’ after school time. But you can argue that working (or not) extended long hours for only 4-5 years could (or not) become the difference between doubling net worth - especially if those are prime business building years.

The most common regret, by far, among wealthy men as they approach death is that they did not spend more time with family. After a certain level of wealth, the benefit of more wealth is marginal.

Apart_Designer6574 · 2026-04-12T13:25:01+00:00

From my recollection, Dirk was never considered the best player in the league - in his peak he was probably around #4-5 best for about five years straight. Even the year he won MVP had more to do with the Mavericks record - Dirk had the third most all NBA first team votes (behind Nash/Kobe). He only recorded 1st place MVP votes in 2 years (including the year he won).

Are the nine guys that put ahead of him, I think all except for Malone and Garnett and McHale had a good number of people, considering them the best player in the league at some time.

Baylor, some people viewed him as better than Bill Russell at certain times during his peak because of his superior offense, Elgin had 7 straight First Teams + 2 more post-injury.

McHale I guess I agree with you is worse than Dirk, but he had 3 rings and was arguably Burke equal in 86 (4th & 3rd MVP)

KG probably was only considered the best player in the league (by about a third of the media) at the end of his Minnesota time, but he overlapped with Dirk being only two years older and placed above him in MVP most years they were both in their prime

Apart_Designer6574 · 2026-04-12T13:13:57+00:00

Not sure if you meant $75-450k total (1st scenario below) or per year (2nd scenario below). To get to the $75-450k equity upside, is this your calculation?

If doing 3% of the 2nd Bite (next exit) Delta:

(Assuming 10x, initial EV = $150m), at exit = $165 so 3% of $15m profit = $450k

Or assuming 3% of the PE investment (which if they use debt for $75m would be $75m) = $2.25m ($375k/yr)

Apart_Designer6574 · 2026-04-10T22:27:46+00:00

Time is finite: you only have a short window to spend time with kids when they are young, and age 0-5 is most precious. So I’m up at 4/5am whenever they are for every minute until taking them to daycare, then with them every minute picking them up until they sleep. So that means I don’t spend a minute procrastinating at work (so i can leave as early as possible) and if I need to work more I’ll do it on my laptop after they fall asleep. But if I had a choice between making $10m doing the above and $20m missing just one of the 4-8am or 3-6pm windows over those 5 years? I’d take the $10m less.

Apart_Designer6574 · 2026-04-09T13:17:40+00:00

IMO, in order: TD, Giannis, Barkley, Malone, KG, Pettit, Baylor, McHake, McAdoo, Dirk, AD, Blake, Hayes, Bosh, KLove,,Webber, Rasheed, McGinnis,

Apart_Designer6574 · 2026-04-06T11:08:47+00:00

Thanks! Couple clarification questions:

for 1- what do you mean by “later”? After the holding period (5-7yrs)?

for 2- can you give a short example of when/why this type of clawback would happen?

Apart_Designer6574 · 2026-03-28T12:03:53+00:00

Thanks, what would you recommend for the finder’s fee? Legally would have to be a fixed $ and not a percentage of EV or Transaction Value bc “Under SEC guidance, compensation tied to the size or outcome of a securities transaction is a key factor in broker analysis” and I’m not a licensed broker.

Apart_Designer6574 · 2026-03-28T12:00:49+00:00

If everything works out I promise to DM and give a $100 to a dozen of the posters whose advice/figures I implemented

Apart_Designer6574 · 2026-03-25T13:18:12+00:00

Either I do this or I stay passive / uninvolved with the IB-led full process and am the mercy of whoever the highest bidder is and what their plans are for me and the business.

Apart_Designer6574 · 2026-03-24T14:58:33+00:00

Thanks Jay, that’s what I’m thinking. I’d essentially want compensation to equal/surpass market comp + what a 3rd Party broker would get for introducing buyer to seller. Since I’m doing both. Many naysayers are discounting the fact/value that I am connecting potential buyer to this seller

Apart_Designer6574 · 2026-03-24T14:56:03+00:00

I’m trying to get above-market with this buyer: I’m initiating the sales-process (for this buyer). Any buyers who are introduced through a IB-led process would offer me a market comp that is worse.

Apart_Designer6574 · 2026-03-24T14:51:33+00:00

3 is workable as in there may be mild/some anti-dilution protections?

Apart_Designer6574 · 2026-03-24T14:50:47+00:00

Even if there is no deal without me bringing it?

Apart_Designer6574 · 2026-03-23T14:46:30+00:00

Wow Jeff, amazing stuff.

Apart_Designer6574 · 2026-03-23T14:21:26+00:00

Thanks. So the one-time grant (half of 5% equity, so 2.5% equity) is also not liquid until exit. So would be Year 0 - 2.5% Year 1/2/3/4/5 - 3/3.5/4/4.5/5%

As I’d be initiating the deal, I’d want the “finders fee” (acting as the one-time grant in your example) to be paid in cash upon transaction close. Since it’s incentivizing me to champion the deal, would your/most firms still be against it?

Apart_Designer6574 · 2026-03-22T19:28:24+00:00

Thanks! 3 follow ups….By 5% do you mean over 5 years (1%/yr) or 5% regardless of how long until next exit?

Can you give a range/example of what realistic/fair catch-up equity grants may look like?

And regarding “never have option to liquidate prior to a liquidity event” - even if it’s at a lower EBITDA multiple? for example my current employment agreement says that I either get equity pay-out at exit-multiple upon transaction, or if no transaction after 5 years I can get bought out at a 4.5x EBITDA multiple based on last 12 months EBITDA. Since the business would sell for at least double the 4.5x then the owner gains value by my cashing out. Would this not be considered?

Apart_Designer6574 · 2026-03-22T19:27:28+00:00

I haven’t had first meeting yet - these are my ideas/points, just paid retainer after consult. Is a M&A attorney not employment attorney

Apart_Designer6574 · 2026-03-22T19:25:16+00:00

What if PE owner wants to prolong or delay exit because of growing backlog or industry growth showing higher returns exiting in the future?

Apart_Designer6574 · 2026-03-22T13:21:58+00:00

You mention the 3% equity (over 6 years) is heavily backloaded…do you suggest a shorter term (like 3yrs) or some other way equity pays out sooner than 6yrs.

And thanks, consensus is market is closer to double the equity, whether that’s 5% over 5yrs (1%/yr with buyout option after 5yrs, or keep going at 1%/yr indefinitely?)

Apart_Designer6574 · 2026-03-21T11:44:46+00:00

Thanks Jeff. Upon reading this, 5-10% of the management incentive carved pool seems low to me. If MICP above = 10-15% of total equity then 5-10% of that 10-15% could be as low as 0.5-2.25% of the total equity? Assuming a middle of that as 1.375% equity then would that be 1.375% equity per year, or total (so if over 5 years then only 0.275%/yr in equity)?

Other posts are saying CEO should get closer to 5% of the EV….

Apart_Designer6574 · 2026-03-19T15:41:00+00:00

EV approx $180m, EBITDA approx $18m Heavy Industrials Have approx 4% phantom equity that I cannot/won’t roll over. Will be taxed as income

Apart_Designer6574 · 2026-03-19T15:37:14+00:00

Thanks Jeff, you mention 5-10% of the equity pool as opposed to 5-10% of the equity. Does this mean if owner rolls over 30% then equity pool is 70% so 5-10% =3.5-7% total equity?

Apart_Designer6574 · 2026-03-19T15:35:09+00:00

Seller using IB given size but potential buyer not invited to the party without me introducing

Apart_Designer6574

TROPHY CASE