Stage 1 (pre-seed and seed)
File the 83(b) within thirty days
A founder at S1 receiving restricted stock must decide whether to file an 83(b) election because the window closes in thirty days with no extension.
Options
File the 83(b) election within thirty days
Skip filing and accept default taxation at vesting
What mattered
- Filing shifts tax to grant date when stock is nearly worthless
- A missed filing is a diligence ding that follows the company
- Delaware C-corp preserves QSBS treatment at exit
What was done
Founders in the sessions incorporated as Delaware C-corps, issued stock at par on day one, applied four-year vesting with a one-year cliff to every founder, and filed 83(b) immediately.
ClaimFile the 83(b) election within thirty days of the grant; there are no extensions.
FAQ
- Which stage does this apply to?
- Stage 1 (pre-seed and seed).
- Where does this come from?
- Synthesized from FounderNexus founder sessions, with speakers abstracted.
FounderNexus convenes stage-matched founder groups around decisions like this one.