Equity Questions

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

4 Votes
2 Answers
4.37K Views
Share allocation: academic startup

What is the best way to allocate shares in a startup where half the potential founders are professors at an academic institution? In this situation the professors have developed the technology...

asked Apr 17 '11 at 03:41
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Jay
123 points

2 Votes
6 Answers
3.24K Views
How much equity am I worth?

I had a problem that required a database solution. I designed the concept of the database and over a 2 year period developed a crude system that worked. In trying to find help with the...

asked Apr 17 '11 at 11:43
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Paul
11 points

7 Votes
9 Answers
6.17K Views
Programmers Working For Equity

I've been having so much trouble finding a programmer to work with. I don't have the money to pitch out to hire a developer, I've tried and failed to code on my own, and I rarely get responses from...

asked Apr 1 '11 at 15:27
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User9107
36 points

11 Votes
4 Answers
4.32K Views
Developer, offered share in small startup company in return for large rate reduction - advice needed

I currently work freelance as the sole software engineer for a small but promising startup company. I've been working with them for a several months, converting their "demo ware" software into...

asked Apr 2 '11 at 18:47
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Bomb Defused
227 points

3 Votes
3 Answers
4.33K Views
Question on Partnership + Revenue Sharing

I founded a business about a year ago, and recently decided to take it in a new direction. Same name and premise, yet slightly different business model. I founded the company as a sole...

asked Apr 8 '11 at 06:17
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Christopher Stuart
16 points

2 Votes
3 Answers
3.1K Views
How do you account for future dilution in setting startup equity splits?

I'm a one-person company and I'm trying to get a beta product built and launched. I'm an Internet general manager, I've come up with what I believe is a solid business plan and product concept, and...

asked Mar 18 '11 at 12:50
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Rob
11 points

6 Votes
8 Answers
3.89K Views
Sharing workload between partners when I am the only developer?

I have been dipping my toes into a web-based startup idea with two others. They approached me with the original seed of an idea, but neither are developers. So I would be building the (fairly...

asked Mar 12 '11 at 16:23
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Elwyn
131 points

6 Votes
5 Answers
4.94K Views
Stock options for a senior engineer at an angel funded startup?

I joined a startup 6 months after its founding as a junior engineer (I was right out of college at the time). I've been with the startup for almost 6 years now, and I've progressed to the point of...

asked Mar 13 '11 at 08:39
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Seth
134 points

2 Votes
1 Answers
2.97K Views
ideas for compensation contract with series B startup

Hi and thanks in advance. I've done some looking around to determine where to start with startup compensation. I work as a contractor exclusively for a startup currently in series b round, I've...

asked Feb 23 '11 at 09:53
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User7991
11 points

0 Votes
1 Answers
2.77K Views
Compensation for Co-founders, plus additional vested equity

I have a company share proposal for co-founders of a web-application startup. I would like to if the structure makes sense, or if anyone can suggest a more suitable structure, which has the desired...

asked Feb 25 '11 at 06:03
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Michael Parks
3 points

1 Votes
4 Answers
2.52K Views
Fair stake for a technical strategist?

First time posting to this Q&A so please be kind! I and a partner are looking to build a web community. However, my partner and I are both business folks. We understand to build a successful...

asked Feb 11 '11 at 01:55
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Li Zhou
323 points

4 Votes
3 Answers
2.96K Views
I want to start an investment club

Ok gang, your input will be greatly appreciated here. I have convinced 4 of my friends and relatives to join me in founding an investment club ( a la private equity or VC) the idea is very simple:...

asked Feb 13 '11 at 21:14
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User7566
21 points

0 Votes
1 Answers
2.4K Views
How to deal with a partner who doesn't want to leave his day-job?

I'm a biz dev & marketing guy with a development background and about a year ago I started coding an idea. It took shape and I mentioned it to an ex-colleague / friend. He was extremely unhappy...

asked Jan 30 '11 at 11:37
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Dinosaur Jr
11 points

7 Votes
1 Answers
8.85K Views
What's a typical sales commission for professional services?

What's a typical sales commission for professional services? I ask because I am thinking of going into business with some friends (professional services and product company). We agree on how to...

asked Feb 6 '11 at 11:11
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Hvgotcodes
171 points

5 Votes
2 Answers
2.49K Views
Renegotiations with my co-founders: how big a stake?

Three sentence history: I was brought in on an opportunity by the original "idea" person. After trying out a few others, there ended up being a total of three of us. The initial project was going...

asked Jan 14 '11 at 10:34
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Matt
180 points

3 Votes
1 Answers
2.17K Views
Equity for strategic hires?

We're a small (but growing) consulting firm with software to be developed as a side stream (yes, I know this is an original story :)). 3 partners, equal equity. We've worked with a few people in...

asked Jan 16 '11 at 02:09
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Sean
1,149 points

1 Votes
3 Answers
2.92K Views
How many companies or LLCs exist where at least one of the partners did not put up capital to receive equity in the LLC?

How many companies or LLCs exist where at least one of the partners did not put up capital to receive equity in the LLC? For example, in an online business one partner may pay all of the bills...

asked Jan 25 '11 at 12:56
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Anthony O
51 points

6 Votes
3 Answers
2.94K Views
How are all these silly web startups raising so much money?

Forgive me if this is a duplicated to any other questions (which I dont think it is), but lately all I hear about is how XYZ web startup has managed to secure another 20 million in seed funding,...

asked Jan 26 '11 at 01:31
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Maq
197 points

4 Votes
3 Answers
3.15K Views
What are the pitfalls of converting early employees' common shares to preferred and then selling them to investors?

This is a question about private, VC-funded, growth stage companies. It seems to be a new trend to allow early employees to sell some of their shares when the company does a new funding round. For...

asked Jan 7 '11 at 01:36
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Joel Spolsky
13,482 points

4 Votes
3 Answers
2.39K Views
STARTUP: partnership or hire?

Ok I invested in my business and built the software, now got to run it! If I hire my friend, to do all this business, and I do all things technical. How should I pay him? 1) salary 2) with...

asked Dec 17 '10 at 17:35
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001
167 points