How do I cash out?

1 Answer(s)

Profits are realized through an IPO or acquisition event.

Early-stage investments take time to grow. If there are profits, investors should expect to wait as long as six to 10 years to cash out.

Pre-IPO investments can have much shorter holding periods. Let’s say you manage to secure some shares in Dropbox, a company expected to IPO sometime in the next 12 to 18 months.

You can usually sell them 180 days after the IPO. The 180-day period is known as the “lock in” period, when insiders and private shareholders aren’t allowed to sell.

cremito Train Answered on September 7, 2015.
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