📺 Stream EntrepreneurTV for Free 📺

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

These Coworkers-Turned-Friends Started a Side Hustle on Amazon — Now It's a 'Full Hustle' Earning Over $20 Million a Year: 'Jump in With Both Feet'

Achal Patel and Russell Gong met at a large consulting firm and "bonded over a shared vision to create a mission-led company."

Social Media

How To Start a Youtube Channel: Step-by-Step Guide

YouTube can be a valuable way to grow your audience. If you're ready to create content, read more about starting a business YouTube Channel.

Science & Technology

Brand New GPT-4o Revealed: 3 Mind Blowing Updates and 3 Unexpected Challenges for Entrepreneurs

Unveiling OpenAI's GPT-4.0: The latest AI with vision, auditory, and emotional intelligence abilities is revolutionizing industries. How will it affect your business?

Productivity

Want to Be More Productive? Here's How Google Executives Structure Their Schedules

These five tactics from inside Google will help you focus and protect your time.

Business Culture

Hybrid Work Is Failing Your Employees — Here's Why (and What You Can Do About It)

Business leaders are trying to choose between in-person and remote work. This leads to hybrid, which just isn't effective. Here's why.

Business Ideas

63 Small Business Ideas to Start in 2024

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2024.