Founder liquidity refers to the practice where founders sell a portion of their shares during a new funding round. This allows them to "take chips off the table," securing personal financial stability while continuing to build the company with a fresh influx of venture capital. This practice is often kept under wraps, discussed in closed boardrooms, and only briefly mentioned in investor updates. You would really only know this happened if you were a founder, investor, or had direct access to the cap table.
Founder liquidity refers to the practice where founders sell a portion of their shares during a new funding round. This allows them to "take chips off the table," securing personal financial stability while continuing to build the company with a fresh influx of venture capital. This practice is often kept under wraps, discussed in closed boardrooms, and only briefly mentioned in investor updates. You would really only know this happened if you were a founder, investor, or had direct access to the cap table.