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Equity for Early Employees in Early Stage Startups

SoCal CTO

Early Employee Equity is an Art I somewhat agree with Fred Wilson in Employee Equity: How Much? For your first key hires, three, five, maybe as much as ten, you will probably not be able to use any kind of formula. Suppose the company wants to make a "profit" of 50% on the new hire mentioned above.

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What is Sweat Equity Worth?

www.entrepreneur.com

What is Sweat Equity Worth? Determining how to value sweat equity is key when negotiating with investors and employees. Entrepreneurs often ask me how to value the sweat equity invested in their startup. Market value doesn't equal the sum of sweat equity invested by you and your partners.

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10 Entrepreneur Milestones That Make Funding Easy

Startup Professionals Musings

A CEO who has “been there and done that” is traction, especially if teamed with a financial lead (CFO) and a product lead (CTO). Intellectual property is a large element of most early-stage company valuations, and this value determines what percent of the company an investor will expect to get for his money. Show personal investment.

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10 Keys to Startup Traction That Investors Look For

Startup Professionals Musings

A CEO who has “been there and done that” is traction, especially if teamed with a financial lead (CFO) and a product lead (CTO). Intellectual property is a large element of most early-stage company valuations, and this value determines what percent of the company an investor will expect to get for his money. Show personal investment.

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These 10 Steps Will Make Your Startup Fundable

Startup Professionals Musings

A CEO who has “been there and done that” is traction, especially if teamed with a financial lead (CFO) and a product lead (CTO). Intellectual property is a large element of most early-stage company valuations, and this value determines what percent of the company an investor will expect to get for his money. Show personal investment.

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Ten Tips for Business Traction to Attract Investors

Startup Professionals Musings

A CEO who has “been there and done that” is traction, especially if teamed with a financial lead (CIO) and a product lead (CTO). Intellectual property is a large element of most early-stage company valuations, and this value determines what percent of the company an investor will expect to get for his money. Show personal investment.