Equity Questions

Equity is ownership that both the business owner and investors have in a company.

0 Votes
2 Answers
2.24K Views
Equity sharing over an iphone app

I have an idea for an iphone app. I want to develop this app. I took an iphone class and tried to develop this app. However, I soon realized you have to be very good to develop a really good app....

asked Aug 3 '11 at 10:18
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Rohit
3 points

1 Votes
3 Answers
2.43K Views
When to ask for equity, how much?

I am new to the start up world and doing well as a sales executive for the company who was given a base salary to start with no invested interest in the company. The base salary goes down on an...

asked Aug 4 '11 at 10:48
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Ones
6 points

2 Votes
3 Answers
2.9K Views
What kind of equity should I be looking for? - Tech Startup

I am currently the Director of Engineering for a tech/website startup in NYC. I was hired in Nov 2010 after they obtained an angel investment of around 1 million dollars. I am the second tech...

asked Aug 5 '11 at 07:50
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Commander
111 points

0 Votes
1 Answers
1.9K Views
Equity size for senior engineer

what is a reasonable equity size for very senior engineer (12-13 yrs) at a 20-40 person startup, the startup is supposedly profitable and has not gone through funding rounds yet and has been around...

asked Aug 6 '11 at 02:38
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User549164
8 points

3 Votes
3 Answers
4K Views
What is founder's stock?

What does it mean when a consultant ask for founders stock in a pre-funded startup for payment? Is it a special class of stock? Is it non-dilutible?

asked Aug 8 '11 at 04:09
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Jirad
105 points

1 Votes
2 Answers
3.15K Views
Compensation for early startup employee - what is the right balance?

If my company is profitable and able to pay early startup employee at the market salary (compare to MSFT, Google, Apple etc) , should I still need to pay for significant amount of option to...

asked Aug 8 '11 at 23:30
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Howard
126 points

2 Votes
1 Answers
2.2K Views
What questions to ask when somebody offers you an equity in his startup?

I own an IT service company providing development services to clients. Recently one of our clients offered us an equity in his startup against the development services we provide. He will give us...

asked Aug 10 '11 at 21:42
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Abhi
31 points

10 Votes
1 Answers
5.3K Views
How to Divide Up Your Company's Equity

We get a lot of questions about dividing equity and for good reason. Dividing up your startup's equity creates a lot of heart burn for all of us. It's a tremendously stressful affair if you have...

asked Jul 22 '11 at 22:25
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Jarie Bolander
11,421 points

3 Votes
2 Answers
3.47K Views
Founder stocks and Employee pool

Is it common to issue equity to CEO as Preferred stock but other co-founders as Common stock? When setting up a 20% employee pool, it is common to have terms that the unissued equity will be...

asked Jul 23 '11 at 13:52
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Howard
126 points

2 Votes
2 Answers
2.3K Views
Restricted stocks and co-founders firing each other

I am part of a 3 member start-up. When we started(6 month) ago we split the equity equally between us and signed a vesting agreement with a 1 year cliff. We have been having some internal...

asked Jul 25 '11 at 05:26
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User12204
111 points

1 Votes
2 Answers
2.29K Views
90 days and $XXK to get to the finish line?

This is a related question to another post I made here: Partnership agreement advice -- I have the idea & ops, he has the marketing investment and industry exp. But here's a critical issue that...

asked Jul 26 '11 at 02:19
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Springster
23 points

1 Votes
2 Answers
3.5K Views
How would I split ownership if I'm typically the idea guy and leading the product development?

This question is very similar to this one: Revenue Split - I am doing 100% of the programming work, he's the idea man The difference however is that I'm typically the idea guy and will also be...

asked Jul 27 '11 at 14:42
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John
106 points

2 Votes
1 Answers
1.68K Views
Negotiating Equity situation written down!

Yes I know I should have it written down. My situation is awkward, I joined a midsize company that has few partners. My agreement with the (verbal) was put in X years, wanted a N% stake in the...

asked Jul 13 '11 at 13:15
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Mkr
11 points

3 Votes
1 Answers
2.2K Views
Prevent founders from leaving startup and cloning it in order to regain their equity?

It seems like there can be incentive for founders to give away equity to incubators, seed investors and co-founders, and then drop the startup and build a new one doing a similar thing but keeping...

asked Jul 17 '11 at 07:27
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Ashton M.
83 points

1 Votes
2 Answers
2.32K Views
Best deferred salary equation?

I'm the co-founder of a bootstrapping startup, and I have incentive to prefer short-term compensation, like deferred salary, instead of equity. Would it be reasonable to apply a multiplier to the...

asked Jul 18 '11 at 00:10
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Ashton M.
83 points

0 Votes
1 Answers
3.44K 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

1 Votes
4 Answers
2.52K Views
Unsure of fair equity % in "startup"

I have been working for the past few years as a consultant doing mostly design/development. A good chunk of that time was spent upgrading and/or building out a product for a company that I will...

asked Jul 19 '11 at 01:25
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Old Startup
6 points

1 Votes
3 Answers
2.66K Views
How much ownership/equity if any do I give a relative that wants to be a part of my start up?

I discussed an idea for a business with my mother and sister. They both thought it was a wonderful idea and said they would help with sales. We did not discuss compensation (probably because they...

asked Jul 21 '11 at 11:37
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Lidia
6 points

3 Votes
2 Answers
4.79K Views
What does it mean to give equity to a team member as compensation?

So i'm the founder and developer of a startup, when i add a guy to the company to serve as a sales man, and give him 10% of equity of the company without any salary. Does it mean he'll receive 10%...

asked Jul 4 '11 at 10:12
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Ryan
139 points

0 Votes
1 Answers
1.99K Views
Popularity of restricted stock?

Several newbie questions for restricted stocks... Is it common for seed fund to invest in restricted stock? Is it common to issue restricted stock to cofounder? Is it common to turn option to...

asked Jul 5 '11 at 01:47
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Yoga
116 points