What is single-trigger acceleration?
Single-trigger vesting acceleration is an equity provision under which unvested founder shares or employee options accelerate (vest immediately) upon a single defined event — typically a change-of-control transaction (M&A, IPO) — without requiring any additional condition such as termination of employment. Single-trigger is the more founder/employee-friendly mechanism but is materially harder to negotiate with acquirers, who view it as eroding post-deal retention incentives.
Mechanics
- Trigger event: change of control — M&A, sale of all/substantially all assets, dissolution; sometimes IPO (rare).
- Acceleration scope: typically 100% of unvested; sometimes partial (50%, 24-month additional).
- No post-closing condition: shares vest at deal closing regardless of whether holder remains employed.
- Timing: acceleration is typically deemed effective immediately prior to closing for tax/280G purposes.
Single-trigger vs. double-trigger comparison
- Single-trigger: founder-friendliest; locks in equity value at exit regardless of acquirer relationship.
- Double-trigger: market standard; requires both CoC + termination; balances founder protection with acquirer retention needs.
- Hybrid: e.g., 25% single-trigger + 75% double-trigger; sometimes negotiated for senior founders.
When single-trigger is appropriate
- Highly-sought founders: star founders with strong negotiating leverage may secure single-trigger.
- Acqui-hire scenarios: when acquisition value primarily reflects the founder team, single-trigger may align incentives if founders prefer optionality.
- Late-stage employees: sometimes granted partial single-trigger for retention.
- Avoid for early employees: creates retention misalignment post-acquisition.
Türk M&A bağlamı
Türk girişim sözleşmelerinde single-trigger acceleration nadiren tam haliyle müzakere edilir; çoğu yatırımcı (Türk veya yabancı VC) double-trigger’ı standart kabul eder. Cayman/Delaware holding üzerinden yapılanmış Türk startup’larda single-trigger uygulaması esas sözleşme ve stockholder agreement seviyesinde tanımlanır; Türk lokal AŞ düzeyinde uygulanması TBK ve TTK ile sözleşmesel düzenleme gerektirir. Türk M&A pratiğinde acquirer’lar single-trigger’a karşı agresif şekilde direnir çünkü post-closing founder retention kritik beklentidir.
Do: reserve single-trigger requests for highest-leverage founder roles (CEO, technical co-founder); document tax-280G analysis (US-Cayman structures).
Don’t: push single-trigger across full team — acquirer pushback may delay or block deal; double-trigger remains the safer standard.