Genuine VC

FEBRUARY 28, 2011

At a board level, VCs and other members don’t like to see someone recently hired already receiving new options or a salary raise after a short period of time. The board’s bias will be to spend those resources on hiring new talent or to retain those who have worked at the company longer and harder. Early-Stage.

Startup 121

Startup Equity Vesting Salary 121

techcrunch.com

FEBRUARY 25, 2010

You could make the same argument about acquisitions and option pools. This is probably why investors’ case for a company to sell early f ocuses exclusively on the founder : in most early-stage acquisitions, the liquidation preferences and deal-sweeteners only work for investors and founders.

Liquidation Preference 63

Liquidation Preference Founder Option Pool Acquisition 63

The Next Web

OCTOBER 7, 2013

They were referring to non-founder engineers, most commonly the first hire for technology businesses. In exchange, the engineer is likely offered the promise that his or her option shares will one day turn into big money. However, at the very early stage, they are taking as much risk with their future as the founders.

Engineer 129

Engineer Dilution Option Pool Vesting 129

www.instigatorblog.com

OCTOBER 23, 2010

Changing Equity Structures for Early Startup Employees Tweet Recently someone asked me for advice on how much equity they should give to their early employees. His company had just closed an early round of funding and he wanted to cement the employee relationships. But I also told him that I though the numbers were wrong. .&#

Equity 41

Equity Employee Startup Vesting 41

Berkonomics

SEPTEMBER 28, 2017

And then there are options: [Email readers, continue here…] Stock options or phantom stock are the tools of early stage businesses used to attract great talent when there is not enough cash to pay market rates. An option plan should carve out an addition of about 15% of the “fully diluted” shares.

Early Stage 102

Early Stage Equity Stock Options Vesting 102

www.startupnorth.ca

OCTOBER 23, 2010

But for every founder, there is an early employee that takes near equal risks in joining an early-stage company. Being an early hire at a startup gives an individual the ability to make tremendous impact on an organization as it grows – and both the founders and those hires should know it.”

Employee 41

Employee Founder Salary Early Stage 41

David Teten

DECEMBER 3, 2019

Data companies focused on early-stage startups include Aingel , fundsUP , Preseries , PredictLeads , and Sploda. The Pocket Negotiator is very early-stage attempt to aid in the negotiating process itself. ff Venture Capital hired two full-time engineers to build out Totem. Fincura specializes in serving lenders.

Technical Review 78

Technical Review Software Review Analytics Private Equity 78

Berkonomics

NOVEMBER 23, 2023

and here is the usual early-stage trap… First, a brand-new enterprise is often formed from the efforts of several “partners”, each with an expertise valued by the others. First you must create a stock option plan using your attorney, which must be registered in many states as a security offering. Here are some rules.

Equity 62

Equity Stock Options Vesting Early Stage 62

Berkonomics

MAY 12, 2010

First you must create a stock option plan using your attorney, which must be registered in many states as a security offering. An option plan should carve out an addition of about 15% of the “fully diluted” shares. a share, then options must be priced at that amount. There are some rules.

Early Stage 85

Early Stage Equity Stock Options Vesting 85

www.payne.org

SEPTEMBER 22, 2011

5 Stock vs Options. The re-heating of the venture funded tech market has pushed a heat up of the hiring market, and Im getting more calls from friends asking for help understanding startup stock (equity) offers. The total preference is less of an issue in early stage companies (e.g. 2 Stock Classes: Common and Preferred.

Equity 56

Equity Employee Vesting Preferred Stock 56

Up and Running

SEPTEMBER 20, 2021

For instance, the cap table will help you with various possibilities while running business activities like available options and pre-money valuations faster. This can be helpful when you are hiring a COO for the company, and the candidate asks to get percentage ownership in the company. Example of a cap table.

Cap Table 112

Cap Table Pre-Money Valuation Stock Options Option Pool 112

venturehacks.com

SEPTEMBER 22, 2011

In practice, you raise money or hire an employee because you need to, not because you want to. Say the equity equation tells you to pay a prospective hire above market. You should still pay the hire a market rate and save the company some equity. Say the equity equation tells you to pay a prospective hire below market.

Equity 40

Equity Cap Table Valuation RSS 40

venturehacks.com

FEBRUARY 24, 2010

Breakups are hard If you’re going to fall out with your co-founder, do it early, recover the equity into the option pool to keep the company going, and recruit someone else great to fill the missing slot. Geeks can always be hired. How to build your core team for early-stage startup? Learn more.

Cofounder 101

Cofounder Founder Technical Cofounder Technical Review 101

www.paulgraham.com

APRIL 28, 2010

4 ] Seed Funding Firms Seed firms are like angels in that they invest relatively smallamounts at early stages, but like VCs in that theyre companiesthat do it as a business, rather than individuals making occasionalinvestments on the side. Angels and even VC firms occasionally do this, but they alsoinvest at later stages.

Technical Review 76

Technical Review Startup Software Review Angel Investor 76