Im thinking of investing into a start up company. There are only 25,000 shares remaining on the ground floor at .00. I will only be able to invest ,000. I want to approach the founder with a proposition of me selling the remaining shares in order for me to obtain more shares for myself. What is the best way to approach this? Is this idea unheard of? My goal is to get my hands on as many shares that I possible can. Any advice?
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How should I structure my investment into a start-up company?
John L 5:02 am on February 28, 2010 Permalink
I wouldn’t do that unless I wanted to end up in jail. Assuming this startup is not a public company (registered with the SEC, shares traded on an exchange) there are strict rules about who they can sell the stock to.
If you think it’s such a great company, tell the founder you want to work there are be paid partly in stock.