The Advisors' Blog

This 36-page report from Pave + Infinite Equity (available for download) provides data from both public and private companies on the structure of employee equity programs, based on grants made in 2025. It’s especially helpful if you’re looking to understand how practices change as a company goes from privately held to publicly held. Here are a few key takeaways:

– 80% vs. 32% – prevalence of equity vesting cliffs in new hire grants at private companies compared with public companies, showing a key difference in strategy for attracting talent.

– 2024 – The year the majority of public companies broke from the four-year vesting standard that private companies still follow.

o 70% of new hire grants and 61% of ongoing grants at public companies in 2025 had a vesting duration of less than four years.

o The report shares data on variations in public company vesting structures and schedules. It also explains that companies aren’t changing vesting schedules in isolation – they are simultaneously adjusting other aspects of their equity programs such as grant frequency – which shows that an equity program should be a strategic, integrated strategy.

– 3.9% – Median net equity burn rate at private AI-native companies, nearly 40% higher than the 2.8% at other tech companies.

The report also explains that when it comes to benchmarking burn rates, there may be more than meets the eye. It also covers grant eligibility and participation data.

– Liz Dunshee