Silicon Valley Self Regulation

Accelerated Vesting

photo by Armchair Aviator

photo by Armchair Aviator



Accelerated vesting is a form of vesting that occurs at a more rapid rate than the rate defined in the company’s initial stock option plan vesting schedule. Accelerated vesting allows for option holders to receive the monetary advantage from their option much sooner than previously defined by the initial vesting schedule. This usually is conditioned on some event, leading many to refer to the scenario as “single trigger acceleration” if there is one event that causes the acceleration.

helpful resources

Accelerated Vesting selection at Investopedia

Rob Fitzpatrick's Equity basics: vesting, cliffs, acceleration, and exits at The Startup Toolkit

Andy Rachleff's What You Need To Know About Vesting Stock at Wealthfront

What is Accelerated Vesting? at The Motley Fool

Startup Vesting & Acceleration at Priori Legal