Job Offer
A formal proposal from an employer to a candidate outlining the terms of employment — the starting point for negotiation, not the end.
A job offer is the employer's formal proposal to hire a candidate. It typically follows a final interview round and a verbal offer conversation, and is delivered in writing — by email, PDF, or through an HR platform. The written offer spells out the key terms: job title, base salary, bonus target, equity grant, benefits summary, start date, and any contingencies such as a background check or reference verification. Until a written offer is signed by both parties, the offer is not binding.
Job offers are negotiable at almost every company — including companies that present them as fixed. The moment a company extends an offer, the candidate has maximum leverage: the hiring team has made their decision, and the cost of restarting the search for a candidate who declines is real. A professional counter is not just acceptable; it's expected at most organizations. The offer letter represents the company's opening position, not a take-it-or-leave-it ultimatum, and treating it otherwise is one of the most expensive career mistakes candidates routinely make.
The distinction between a verbal offer and a written offer matters more than most candidates realize. Verbal offers are often followed by delays — sometimes days, sometimes weeks — while compensation, equity, and title are finalized internally. Accepting verbally while the written offer is prepared is fine; resigning from your current job based on a verbal offer alone is risky. Offers can change between verbal and written stages due to internal approvals, equity pool limits, or compensation committee decisions. Wait for the written document before taking any irreversible action.
Contingencies are the overlooked risk in most offer letters. Most offers are explicitly conditional on a background check, employment verification, and sometimes a drug test or professional license check. An offer can be legally rescinded if a contingency check surfaces disqualifying information — and what counts as disqualifying varies by role and state. Candidates with anything in their background that might surface should understand what the check covers and whether there are applicable ban-the-box or adverse action protections in their state before accepting.
What to Review in Every Offer Letter
- Base salary — and the review cycle: when is your first raise eligible, and what is the performance review calendar?
- Bonus: is it guaranteed or discretionary? What is the target percentage, and what does hitting it actually require?
- Equity: number of shares or units, type (RSUs or options), vesting schedule, cliff, and any acceleration provisions.
- Benefits: health insurance premium split, 401k match structure and vesting, PTO policy (accrued vs. unlimited).
- Contingencies: which checks can void the offer, and what is the timeline for clearance?
- Legal attachments: non-compete scope and duration, NDA terms, IP assignment clauses — particularly important if you're leaving a direct competitor.
Before You Sign
- Don't resign until you have a signed written offer — verbal commitments can change.
- Negotiate before signing, not after — once you've accepted, leverage is gone.
- Review IP assignment clauses carefully: overly broad clauses can claim ownership of side projects unrelated to your employment.
- Ask about the equity details the letter doesn't include: current 409A valuation (for options), total shares outstanding, and what the company's liquidity outlook looks like.
- Confirm the start date has been communicated to your future manager, not just HR — a disconnect here causes friction on day one.
Example
A candidate receives a written offer for a product manager role: $135,000 base, 10% target bonus, 8,000 RSUs vesting over 4 years, $5,000 signing bonus, and a September 2 start date. She counters at $145,000 base and $8,000 signing. The company meets her at $141,000 and $6,500 signing. She accepts — having captured $6,000 more annually than the initial offer.