This may be a stupid question, but by 'grant', do you mean a stock grant? Why would he agree to a grant of less than X% (which he currently owns)?
The last option is the default, and we are o.k. with it if it comes to that.
The last option is the default, and we are o.k. with it if it comes to that.
In other words, he'd be better off owning less of something huge than more of something small. :-)
This is not unheard of. It might not be common, but I've only been in silicon valley six years and I've seen it at least a handful of times.