Cognitive Scaffold

Preparing your thinking workspace

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MENTAL MODEL · M1500

Cliff

Cliff
BusinessHigh supportEntrepreneurship
Included
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Version 1.0.0 · Updated 2026-07-30

CORE DEFINITION

A threshold in the vesting period of stock options, typically one year. Employees must work for a full year (the cliff period) to receive the first portion of options in one lump sum. If they leave in the 11th month, they get nothing.

SCAFFOLDING EFFECT

psychology

Reduce cognitive load

Screening for long-termists. This is a protective mechanism for both parties. As an employee, you must survive the cliff; as a company, use the cliff period to identify and eliminate unsuitable people without paying the equity price.

anchor

Anchor fast decisions

As a thinking model, 'Cliff' metaphorically refers to the edge of danger and irreversible consequences. The mechanism uses spatial imagery to highlight risk differentials: a step's difference from the edge determines safety or danger.

MINIMUM ACTION

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Source support: Explicit

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