Compensation Questions


3 Votes
1 Answers
3.65K Views
What's a good ratio between founder equity and early employee equity?

I'm looking into the equity for the 2nd employee of an early-stage startup. I've seen lots of rules of thumbs out there (some people say 1%) but it's hard to apply because some rules of thumb refer...

asked Dec 16 '11 at 15:58
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Led
16 points

2 Votes
8 Answers
7.58K Views
20% equity and CTO. (Story and details). Is this fair?

This is a long exposition. Please bear with me, I think that I need to provide as much specifics as possible, while keeping it as short as possible. Thanks for reading, any feedback is much...

asked Sep 30 '11 at 05:22
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Potential Partnership
13 points

2 Votes
2 Answers
2.31K Views
Investors willingness to pay founders to enable full t-ime effort

I have read all the streams here on this topic but didn't find an answer to the following specific concern: I am one of two founders of a new web service of an idea I first developed months ago...

asked Sep 30 '11 at 23:10
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D Moore
174 points

1 Votes
3 Answers
2.33K Views
How can an Advisor be rewarded if there's not a VC round or Sale down the line?

A guy who's help our SaaS startup a lot in the 1st 2 month of its life has suggested that we form and he join our Board of Advisors. He's very helpful to us, a great guy and will definitely be an...

asked Oct 5 '11 at 00:28
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Dmurtagh
157 points

2 Votes
6 Answers
2.94K Views
Considering an offer from a startup, two different compensation packages. Advice?

A bit of background: The two founders are guys I used to work with before our previous employer (a SaaS company) was aquired back in 2010. One of the founders was a senior sales exec and the other...

asked Sep 23 '11 at 00:46
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Kronprinz
113 points

3 Votes
2 Answers
2.81K Views
CEO Compensation for a Startup

For a startup that currently has no funding and wants to put a business team in place, how much equity would you give someone who would be coming on board as the CEO to take over the business side...

asked Sep 11 '11 at 02:41
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Ricky
16 points

2 Votes
2 Answers
2.3K Views
Head of Sales/BD/Marketing Equity Share for Prefunded Startup?

I'm considering joining a great team/early startup. Founder A engineer / mba, brought the vision. Founder B phd relevant to product C head of Product - person poached from another company very...

asked Aug 31 '11 at 12:37
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Lisa
11 points

2 Votes
2 Answers
2.32K Views
How can early startup employees ensure that founders do not intentionally dilute them?

I am considering joining a startup as employee #2. I expect to receive some equity (either stock or options). Is there any way in which I can protect myself against the founders simply issuing...

asked Sep 3 '11 at 03:57
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Abtin Forouzandeh
121 points

2 Votes
2 Answers
3.4K Views
How to (not) move ahead with my cofounder

I need some advice on how to handle the current situation with my co-founder. I am not happy working with him, we haven't signed any contracts or agreements, and he has put in a lot of hours over...

asked Aug 19 '11 at 00:18
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Yes
128 points

0 Votes
2 Answers
1.89K Views
Compensation for employee participation on internal community site

I run a site which relies on an internal social network for communication between teachers and students. Most updates to the news feed (think Facebook status update) are students posting their...

asked Aug 13 '11 at 21:42
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Jeff
154 points

1 Votes
2 Answers
2.22K Views
Mentor requesting for board of director role, should i offer director or advisor role to him?

We recently met a person through our contacts and he has shown interest in our startup & super liked the Idea. We had initially requested him to be our mentor, for which he agreed. In our next...

asked Jul 29 '11 at 04:21
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Kumar K
11 points

0 Votes
1 Answers
3.41K Views
Profits Interest in a new LLC Start-up for an Executive Seeking Ownership Stake?

I've have been asked to head-up and manage a start-up LLC as the President/GM and sit on the board. I will have a base salary package and bonus plan; however, I've asked for an ownership stake in...

asked Jul 18 '11 at 01:30
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Robert
1 point

3 Votes
5 Answers
2.83K Views
Leaving an awesome startup for Big Co. Am I crazy?

I love working for my current company. The work is challenging and fun, the people are amazing, I've been given lots of opportunity, and it's just an overall great work environment. The...

asked Jun 25 '11 at 12:28
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Dragoon
16 points

2 Votes
1 Answers
2.4K Views
How do I figure out how much stock to give a developer working short term in exchange for equity?

I recently participated on a team with a developer at a hackathon. The person has their own freelance business, so unlikely to join fulltime later. They expressed interest in helping with my...

asked Jun 18 '11 at 03:31
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Anonya
11 points

1 Votes
2 Answers
3.02K Views
Negotiating equity/commission working for friend's startup

I've been working with a friend's startup for about six months now. We have minimal revenue thus far, but things look to be on the brink of coming through. My role with the company has yet to be...

asked Jun 8 '11 at 06:43
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Bspring18
6 points

3 Votes
1 Answers
2.48K Views
Start up employment - Trial period with ambugious compensation, how to evaluate?

A company (pre-funding) wants to do a 3 month trial period with me. I received an offer for X shares of stock. How do I determine if I am properly compensated for my efforts? The value I would...

asked Jun 11 '11 at 17:41
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Daniel
157 points

1 Votes
1 Answers
2.51K Views
Startup Employee Equity Agreements

Is a one-year cliff with no accelerated vesting typical?

asked May 20 '11 at 03:53
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User7991
6 points

6 Votes
1 Answers
2.88K Views
Is there an inbetween step between "a trial period" and "co-founder"?

Greetings, I am planning on joining a start up with someone as a co-founder and right now we're in a hurry to get product off the ground. I've worked with this person in a trial period and I...

asked May 23 '11 at 03:01
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Daniel
157 points

7 Votes
5 Answers
3.09K Views
If newly funded startups offer salaries which are not comparable to market rate, then how they can attract top talent and be successful?

This question is related to the question: "Do newly funded startups offer salaries which are comparable to market rate? " Apparently, it is quite common for startups to offer salaries which are...

asked May 17 '11 at 14:46
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User10483
208 points

1 Votes
3 Answers
2.66K Views
In evaluating a co-founder offer, how do you value the benefits of failure?

I'm a tech guy looking to join a company as a co-founder. Quite often companies are in various stages. For example for 2 different business offers, pre-seed/pre-series A: Lets say founder A,...

asked May 3 '11 at 18:01
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Daniel
157 points