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How to calculate the equity split between co-founders in a startup

The Next Web

There are a lot of variables to go into calculating a fair equity split a startup team. If people are funding the business, they should get a premium because at the end of the day, cash funding founders are acting no different than a seed stage investor. How do you manage your equity split in your company?

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Building a High-Tech Startup Team

Business Plan Blog

Be sure to leave plenty of equity for investors. You will likely need to raise more rounds of capital than you originally anticipated. With little to no revenue, many early stage entrepreneurs turn to the Co-Founder model to build credibility for their startup when raising seed capital.

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Why Startups Die

The Next Web

Andrew is the co-founder and CTO of Parse.ly , a technology startup that provides big data insights to the web’s best publishers. It can be very tempting to take in a little bit of seed capital, and start to operate as if you’re a big company. Note: I’m not talking about equity.

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