article thumbnail

Equity for Early Employees in Early Stage Startups

SoCal CTO

For your first key hires, three, five, maybe as much as ten, you will probably not be able to use any kind of formula. For example, suppose you're just two founders and you want to hire an additional hacker who's so good you feel he'll increase the average outcome of the whole company by 20%. Stock vests for 4 years.

article thumbnail

Equity-Only CTO and Equity-Only Developers

SoCal CTO

You should avoid spending your time here and instead focus on finding a way to generate revenue or to attract investors so that you can afford to hire someone. What sweat equity is not good for is for people who you don’t know at all. How To Get There

Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

5 Types of Video That Improves Marketing Content

Duct Tape Marketing

Search engines continue to reward businesses with video on their homepage with additional traffic. Of course, you have a vested interest in selling your business as the best business out there in your field. By showing prospects an existing happy customer, you give them a taste of what their life could be like if they hired you.

Video 101
article thumbnail

Organizational Debt is like Technical debt – but worse

Steve Blank

While he kept bringing the conversation back to their big valuation I tried to steer the conversation back to how they were going to deal with: training the influx of new hires – in both culture and job specific tasks. retaining their existing hires who were working for intern-like salaries with little equity. the company had.

article thumbnail

Never Hire Job Hoppers. Never. They Make Terrible Employees

Both Sides of the Table

I never hire job hoppers. You have tough choices to make about whom you hire on your team. Now is the time that you need “all hands on deck.&# That awesome gal you hired in engineering has job options and she knows it. And he has already vested 75% of his stock options at your company. Everyone loves you.

Hiring 392
article thumbnail

A VC: Employee Equity: How Much?

www.avc.com

The most common comment in this long and complicated MBA Mondays series on Employee Equity is the question of how much equity should you grant when you make a hire. For your first key hires, three, five, maybe as much as ten, you will probably not be able to use any kind of formula. First, a caveat.

Equity 64
article thumbnail

How to Launch Your Own Startup Part 4 (money, culture and becoming a manager)

The Next Web

Today, in steps 10-12 I want to discuss with you raising your first round of money, hiring to develop and maintain your company culture, as well as defining your role in the management of your startup. But never give away shares without vesting. Learn how to hire and maintain your company culture. 10-20% for employees.