Cliff

The term defines a minimal time period (a period of years), during which an employee must work for the startup and thus obtain the right to retain the vested share, i.e. business share and stocks. The employee who leaves before the cliff is completed, loses the entire share. The purpose of the cliff is to prevent short-term employees from acquiring shares in  the company. Once the cliff period is completed, employees vest their share in monthly or annual intervals.

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