⚡ Get All Content for 20% Off ⚡

Yahoo Will Pay Tumblr Founder David Karp Up to $81 Million to Stick Around David Karp will earn about $20 million a year if he stays at Yahoo for the next four years.

By Julie Bort

entrepreneur daily

This story originally appeared on Business Insider

Tumblr founder David Karp says that he didn't expect to sell his company to Yahoo, or sell it at all, this year. He says he was motivated to sell because Yahoo would give Tumblr a "shortcut" to "all the very hard things" Tumblr had to learn in order to grow.

But on Thursday Yahoo revealed another pretty good carrot to get Karp to sell: Yahoo will pay him $81 million in cash and stocks if he stays with the company for four years. So it said in a form filed to the SEC, and spotted by AllThingsD's Peter Kafka.

#insert RSS here# Specifically, he gets Yahoo common stock valued at $41 million and $40 million cash. It averages out to about $20 million a year.

The filing also says he gets unvested stock options and restricted stock units valued at $29 million. However, a Yahoo spokesperson tells us that goes to Tumblr employees.

Related: 3 Leadership Lessons From Tumblr's David Karp

When not writing for Business Insider I can usually be found on the trails, on my mountain bike or skis -- if you know where to look.

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Side Hustle

The Remote Side Hustle a 43-Year-Old Musician Works on for 1 Hour a Day Earns Nearly $3,000 a Month: 'All From the Comfort of Home'

Sam Ziegler wanted to supplement his income as a professional drummer — then his tech skills and desire to help people came together.

Marketing

Ever Wonder Why Certain Websites Rank Higher Than Yours? This SEO Expert Reveals The Secret to Dominating Search Results

It's often the smart use of SEO, now supercharged with AI, particularly in keyword optimization.

Business News

AI Is Impacting Jobs. Here Are the Gigs Affected the Most, According to an Analysis of 5 Million Upwork Postings

The researcher said in the report that freelance jobs were analyzed first because that market will likely see AI's immediate impact.

Franchise

The Top Franchise Brands Growing Globally

While our main Fastest-Growing Franchises list focuses on North American growth, more and more brands are looking to grow worldwide. These are the 25 that had the greatest franchise growth outside the U.S. and Canada from July 2022 to July 2023.