Secondary Sales Shift From Founder Windfalls To Employee-Retention Tools

Secondary Sales Shift From Founder Windfalls To Employee-Retention Tools

Why Today's Secondary Sales Look Nothing Like 2021's Cash-Out Frenzy Secondary sales—the private transactions allowing stakeholders to sell shares before an IPO—are making a quiet comeback. But unlike the founder-dominated liquidity events of the 2021 bubble, today's tender offers prioritize rank-and-file employees at fast-growing startups. Companies like Clay, Linear, and ElevenLabs recently authorized multi-million dollar liquidity programs where staff—not just founders—can convert stock options into cash. This shift reflects a maturing market where retaining top talent matters more than premature founder exits. For employees weighing equity-heavy compensation packages, these moves signal a new era of shared upside in an otherwise cautious funding environment. Credit: erhui1979 / Getty Images The New Playbook: Liquidity as a Retention Lever In May 2025, AI sales automation platform Clay broke pattern by offering most employees a chance to sell shares at a $1.5 billion valuat…