Remove Demand Remove Equity Remove Forecast Remove Option Pool
article thumbnail

Founders Should Set Aside More Equity for Their Team & “Split the Pain” With Investors

Hunter Walker

But employee option pool is important enough that I wanted to briefly expand upon my comment above. While you should expect these sorts of hires to take below market cash comp versus what Google is paying them, this tradeoff needs to be replaced with equity upside.

Equity 94
article thumbnail

Term-sheets and Valuations: Thinking about Negotiations - Startups.

Tim Keane

The investors and the entrepreneurs are – or should be – aware that the price of the company’s equity is set by the market – in simplest terms, what an informed buyer is willing to pay.   Note that this applies only to earl stage Series A-type equity financings and assumes no cash dividends are paid to investors.

article thumbnail

The New Funding Landscape

www.paulgraham.com

Founders never really likedgiving up as much equity as VCs wanted. The short term forecast is more competition between investors, whichis good news for you. They dont take boardseats, so they dont need a big percentage of your company. Though that means youll get correspondingly less attention fromthem, its good news in other respects.