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Ask HN: Can I get a loan based on my US startup equity?

4 pointsby equityloanalmost 3 years ago
I was an early employee at a US startup that is now a unicorn. I vested and exercised some shares before leaving and they are now worth 7 figures. I&#x27;m hoping that the company will go public whenever the next IPO window opens.<p>I would really like to get access to some of this capital to diversify my assets and reduce risk, pay off some debts, and maybe put a down payment on a house.<p>The main problem is that I&#x27;m from New Zealand, and I am not a US citizen. I lived in the US for a few years on an O-1 visa. I live in New Zealand now, and I am no longer a US resident.<p>I tried to use EquityZen [1] a few years ago, but unfortunately the company blocked the sale. I also talked to ESO Fund [2], but they weren&#x27;t able to work with me since I wasn&#x27;t a US citizen or resident. I&#x27;ve just sent an application to Quid [3] and have requested a call, so I&#x27;m waiting to see if that might be an option.<p>I&#x27;m wondering if there are any other options where I don&#x27;t need to sell any shares? I&#x27;m looking for around $150k USD.<p>I would also be interested to hear from any individuals who might be interested in setting up a loan arrangement similar to Quid. Please send me an email if you&#x27;re interested: equityloan65@gmail.com<p>I have a Shareworks [4] account that shows the number of vested common shares, and a recent 409a update with the current price.<p>I found this HN post from a few months ago [5]. Please let me know if there are any other posts I should take a look at on HN, Reddit, etc.<p>[1] https:&#x2F;&#x2F;equityzen.com<p>[2] https:&#x2F;&#x2F;esofund.com<p>[3] https:&#x2F;&#x2F;www.getquid.com<p>[4] https:&#x2F;&#x2F;www.shareworks.com<p>[5] https:&#x2F;&#x2F;news.ycombinator.com&#x2F;item?id=30274024

5 comments

brudgersalmost 3 years ago
Have you talked with your former employer?<p>Maybe they would be interested in acquiring the shares.<p>For what it is worth, a loan against the shares isn’t diversification.<p>Also, illiquid shares are unlikely to be an attractive form of collateral to most people in a position to lend.<p>Good luck.
YuriNiyazovalmost 3 years ago
I am surprised that the company could block the sale. Usually they can&#x27;t just block it, they have a right of first refusal which is where they have to buy it from you at the same price that&#x27;s being offered.
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hunterb123almost 3 years ago
What an interesting insight to another world this post is.
pacarvalhoalmost 3 years ago
If you manage to resolve this, please update us! Very curious to learn more.
b20000almost 3 years ago
why didn’t you sell them before you left?
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