Stock option is an incentive for employees. When you join the company,you are given a certain number of shares at a fixed price that you can buy in future (usually after one year, ...), the idea is that if you work hard and company do well, its stock price will go up, you buy your allocated shares from company at fixed price and then sell at a higher price, everybody happy.
It's possible that stock price may never appreciate, then your option is not worth anything (under water), then you don't have to buy. This is how stock option works. Silicon Valley generated tens of thousands millionaires this way.
Either way, you have nothing to lose, so take it, and bargain for more if you can.
It's possible that stock price may never appreciate, then your option is not worth anything (under water), then you don't have to buy. This is how stock option works. Silicon Valley generated tens of thousands millionaires this way.
Either way, you have nothing to lose, so take it, and bargain for more if you can.
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