> As for the acquisition number… that’s why you’ve read this far, right?!
Yes.
> We settled on an amount equivalent to how much I’d earn as a US-based engineer working 6 months, but then multiplied by X for the traction/success factor already achieved. And I also still have a stake in the project going forward.
Working where in the US? Software engineers can make wildly different amounts of money depending on where in the US they work. Even within SFBA and NYC, a subset of companies pay significantly more than others as well.
So why not just say the actual acquisition number?
While we're guessing, I'll throw my hat in the ring at 250k. Given that it failed to monetize, I'd be surprised if it's significantly higher.
I know of a project that did have decent monetization and was impressive technically that only went for mid 6 figures. However the owner wanted to sell quickly so that might have depressed the price a little bit.
They worked out a deal in a little less time than it takes me to be disappointed with a movie choice. It was more that the seller wanted the hire part of the acquihire. Looks like it was a good deal for both.
And this is exactly why he didn't come out and say a number. X could be anything. Someone else in the comments was speculating 10 to 14. But it could just as easily be like 1.2 or something.
>Someone else in the comments was speculating 10 to 14
Probably my comment, but I wasn't speculating... my understanding of a normal tech acquisition formula, but I specifically acknowledge this one was likely different because it was < 6 months old and no prior funding/investments.
> So why not just say the actual acquisition number?
Usually buyers don't want this information going public. Likely it was part of the deal terms. My guess is that what Josh said is as much as he's allowed to disclose per terms of the deal.
Yes.
> We settled on an amount equivalent to how much I’d earn as a US-based engineer working 6 months, but then multiplied by X for the traction/success factor already achieved. And I also still have a stake in the project going forward.
Working where in the US? Software engineers can make wildly different amounts of money depending on where in the US they work. Even within SFBA and NYC, a subset of companies pay significantly more than others as well.
So why not just say the actual acquisition number?