Startup Professionals Musings

FEBRUARY 18, 2018

Being the leader doesn’t mean more equity, nor does it mean the leader will necessarily be CEO. Outside professionals are always available, but they may have their own agenda, such as building a career, making money quickly, or managing up the stock price for a quick exit. The industry veteran. The operations superstar.

Technical Cofounder 144

Technical Cofounder Cofounder Advisory Board Startup 144

Startup Professionals Musings

JUNE 11, 2014

Being the leader doesn’t mean more equity, nor does it mean the leader will necessarily be CEO. Outside professionals are always available, but they may have their own agenda, such as building a career, making money quickly, or managing up the stock price for a quick exit. The industry veteran. The operations superstar.

Technical Cofounder 245

Technical Cofounder Cofounder Advisory Board Startup 245

www.drowningamerican.com

JUNE 22, 2012

Next → How we Hire for Sweat Equity (Part 2)… Posted on April 7, 2011 by Travis Biziorek. The first time we hired partners for Kibin was way back in late 2009. I’ve heard people say it’s impossible to hire good developers right now. I want to hire before I have the ability to pay anyone.

Sweat Equity 40

Sweat Equity Equity Hiring Technical Review 40

Startup Professionals Musings

SEPTEMBER 13, 2015

Being the leader doesn’t mean more equity, nor does it mean the leader will necessarily be CEO. Outside professionals are always available, but they may have their own agenda, such as building a career, making money quickly, or managing up the stock price for a quick exit. The industry veteran. The operations superstar.

Technical Cofounder 120

Technical Cofounder Cofounder Advisory Board Stock Options 120

Feld Thoughts

JANUARY 17, 2013

It’s the annual bonus, next year bonus plan, option grant refresh cycle. For many management teams, especially in rapidly growing, or mature companies, it’s an important part of their existence as culturally we’ve oriented compensation, bonuses, and future compensation around an annual cycle. Let me give an example.

Stock Options 134

Stock Options Stock Vesting Retention 134

Up and Running

OCTOBER 19, 2021

As a startup looking to hire your dream team, this news can be exciting. You can trust them to manage your organization on their own because they’ll do whatever it takes to be successful. If your team’s starting salaries leave something to be desired, consider adding equity to your compensation packages, as well.

Startup 127

Startup Salary Stock Options Employee 127

Startup Professionals Musings

APRIL 10, 2016

The allocation of shares among the founders, and the number and size of outside investments, will tells volumes about the health, stability, and management of the business. Most founders like to talk about their many months or years of sweat-equity , but cash invested is a stronger commitment.

Sweat Equity 120

Sweat Equity Burn Rate Technical Review Intellectual Property 120

www.inc.com

SEPTEMBER 24, 2011

Leadership & Managing | Tuesdays. LEADERSHIP & MANAGING. Managing Creativity. Should You Share Equity with Consultants? Back in 1997, Randy Parker was staring at a blank whiteboard, wondering where hed find the money to hire the employees and consultants he needed to build his new product. "We Finance | Tuesdays.

Fractional CTO 40

Fractional CTO Equity Iowa Technical Cofounder 40

Gust

APRIL 9, 2014

Equity dilution works when the same pie is divided among more people. Over time, other people receive pieces of equity in exchange for work (employee stock options), money (seed, angel and venture investors), services (attorneys, directors, etc.). Uncategorized company equity dilution founder investors startup'

Dilution 150

Dilution Equity Vesting Stock Options 150

David Teten

AUGUST 1, 2019

Ready to join a new management team? How To Evaluate A Job Offer – Tips For Senior Managers And Executives. Negotiating Employment with a Private Equity Firm – 7 Surprises to Expect. Negotiate Your Equity And Salary With Stock Option Counsel Tips. Here’s How Startup Founders Should Offer Employee Equity.

Private Equity 60

Private Equity Equity Due Diligence Portfolio 60

Berkonomics

SEPTEMBER 28, 2017

For those negotiating equity allocations it covers some of the most complex issues to address in the process. Equity is divided between the founders and the business begun. First you must create a stock option plan using your attorney, which must be registered in many states as a security offering. There are some rules.

Early Stage 102

Early Stage Equity Stock Options Vesting 102

Startup Professionals Musings

APRIL 8, 2015

The allocation of shares among the founders, and the number and size of outside investments, will tells volumes about the health, stability, and management of the business. Most founders like to talk about their many months or years of sweat-equity , but cash invested is a stronger commitment.

Technical Review 120

Technical Review Due Diligence Sweat Equity Burn Rate 120

Up and Running

SEPTEMBER 20, 2021

And as the company grows, it brings on new people and may decide to issue stock options to attract new staff and funding from investors. A cap table will help you in the strategic management of business decisions. One needs a great idea, hard work, and innovation to achieve stable traction and growth. Total share ownership.

Cap Table 112

Cap Table Pre-Money Valuation Stock Options Option Pool 112

www.thedailymuse.com

SEPTEMBER 18, 2012

We’re Hiring. What Start-ups Should Know About Hiring a Lawyer. Hiring and working with a lawyer is often confusing and daunting, especially if you’ve never done it before. What should new entrepreneurs look for when hiring a lawyer? Hiring employees. Get Involved. Meet the Team. Job Search. Break Room.

Hiring 56

Hiring LLC Intellectual Property Private Equity 56

Both Sides of the Table

JANUARY 21, 2010

You never got around to agreeing exact equity splits but you had many conversations about it. Forget to get around to setting up that Employee Stock Option Plan and want to be able to give the early guys their options at a low strike price? I write about some of the lessons in my post on Startup Mistakes.

Southern California 318

Southern California Silicon Valley IP Stock Options 318

Berkonomics

JANUARY 7, 2021

How many of them, particularly in technology, were able to start a company, supply all the funding, and share no management tasks or equity with others, and still grow the company to any significant size, worthy of a multi-million-dollar opportunity to cash out at exit? Two: Co-management. How much equity to early investors?

Liquidity Event 96

Liquidity Event Pre-Money Valuation Cofounder Initial Public Offering 96

www.quora.com

SEPTEMBER 22, 2011

Type to Add and Search Questions; Search Topics and People Startups Startup Compensation Entrepreneurship Compensation Stock Options Major Internet Companies Silicon Valley Why is there such a large founder to early employee equity drop-off? This ties into this Paul Graham article: [link] /equity. This answer.

Equity 40

Equity Employee Founder Cofounder 40

David Teten

SEPTEMBER 10, 2019

Ready to join a new management team? How To Evaluate A Job Offer – Tips For Senior Managers And Executives. Negotiating Employment with a Private Equity Firm – 7 Surprises to Expect. Negotiate Your Equity And Salary With Stock Option Counsel Tips. Here’s How Startup Founders Should Offer Employee Equity.

Due Diligence 60

Due Diligence Stock Options Covenant Private Equity 60

Both Sides of the Table

FEBRUARY 23, 2015

He wants a chance at changing life’s circumstances with building equity value that might free him and his family from the rat-race of 529 accounts, property taxes, summer-school tuitions and even spending some cash on aging parents. the standard 4-6% for a hired-gun CEO). He still has the dream. He has the hunger.

Technical Review 150

Technical Review Liquidation Preference Silicon Valley IP 150

The Next Web

AUGUST 12, 2013

It’s important you understand the risks, and start managing them. I managed that by simply being completely transparent about our financials (I still am). However, there is a way to help manage risks and to deal better with day-to-day challenges – and that is by having great co-founders. Remember, that’s precisely your job.

Cofounder 119

Cofounder CTO Hire Startup Europe 119

YoungUpstarts

FEBRUARY 11, 2020

Why do you think there are so few women in private equity, and what can be done to change that? When I became a managing partner, aside from directing our strategy on where to invest, I also helped recruit board positions and management teams. Two of my most senior hires were top women who were the best for the job.

Switzerland 264

Switzerland Private Equity Stock Options Equity 264

Up and Running

SEPTEMBER 10, 2014

I’m a mom, a full-time sales manager, and recruiter. Taking a campaign online and encouraging non-accredited investors to use a crowdfunding platform is a great way to show their support, manage the volume, and market your business. Management Resumes and Organizational Chart. Stock Option. Customer References.

Angel Investor 159

Angel Investor Technical Review Software Review Accredited Investor 159

Berkonomics

MAY 12, 2010

Equity is divided between the founders and the business begun. 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. There are some rules.

Early Stage 85

Early Stage Equity Stock Options Vesting 85

Startup Company Lawyer

MAY 1, 2009

CompStudy publishes an annual report of equity and cash compensation that provides compensation data on top management positions and Boards of Directors at private companies in technology and life sciences. For example, below are the 2008 results for average equity granted at time of hire in IT companies: CEO 5.40%.

Stock Options 31

Stock Options CTO Hire Equity 31

Startup Professionals Musings

DECEMBER 16, 2013

The intent of this question is to determine the level of commitment of founders, both cash and “sweat equity,” and how much others have already invested into this plan. As an employee, you salary will likely be low, your job security low, so the job title better be large, and the stock options better be large.

Due Diligence 253

Due Diligence Sweat Equity Intellectual Property Burn Rate 253

Startup Professionals Musings

NOVEMBER 2, 2012

The intent of this question is to determine the level of commitment of founders, both cash and “sweat equity,” and how much others have already invested into this plan. As an employee, you salary will likely be low, your job security low, so the job title better be large, and the stock options better be large.

Due Diligence 244

Due Diligence Sweat Equity Burn Rate Intellectual Property 244

A Smart Bear: Startups and Marketing for Geeks

MARCH 11, 2014

And when you look at the tools that we use, I mean we’ve made so many technological advances, but really to manage a meeting there’s not a practical tool available. We use email; we use Word; we use task manager; we use a file sharing tool. They are so happy that they finally have a tool to manage their business.

Technical Cofounder 220

Technical Cofounder Cofounder Software Review Management 220

www.payne.org

SEPTEMBER 22, 2011

Startup Equity For Employees. 2 Stock Classes: Common and Preferred. 5 Stock vs Options. 6 Founders / Restricted Stock. 7 Salary vs Equity. Important disclaimer: Ive got experience negotiating stock compensation packages from both sides of the table. From Payne.org Wiki. 3 Dilution. 4 Vesting.

Equity 56

Equity Employee Vesting Preferred Stock 56

Startup Professionals Musings

SEPTEMBER 5, 2011

The intent of this question is to determine the level of commitment of founders, both cash and “sweat equity,” and how much others have already invested into this plan. As an employee, you salary will likely be low, your job security low, so the job title better be large, and the stock options better be large.

Due Diligence 237

Due Diligence Sweat Equity Intellectual Property Entrepreneur 237

Gust

DECEMBER 8, 2013

The intent of this question is to determine the level of commitment of founders, both cash and “sweat equity,” and how much others have already invested into this plan. As an employee, you salary will likely be low, your job security low, so the job title better be large, and the stock options better be large.

Due Diligence 174

Due Diligence Sweat Equity Intellectual Property Burn Rate 174

The Next Web

MARCH 2, 2014

For many business owners and management teams, “now” can easily seem like the right time to secure funding, and why not? Of course, it would be ideal to retain the autonomy as long as possible to establish you and your management teams’ business vision, but some businesses absolutely require outside capital in order to scale.

Liquidity Event 139

Liquidity Event Equity Finance Stock Options 139

Berkonomics

JUNE 12, 2014

It is rare when one person starts a company, supplies all the funding, and shares no management tasks or equity with others, and still grows the company to any significant size, worthy of a multi-million dollar opportunity to cash out at exit. So co-management is the second group to share in the bounty upon a liquidity event.

Liquidity Event 85

Liquidity Event Pre-Money Valuation Cofounder Initial Public Offering 85

The Next Web

SEPTEMBER 16, 2012

Who is your manager? What about company stock options? Here is something that they don’t tell you when hiring you, unless you join a rocket-ship, you are probably not going to get anything significant at a startup. That being said, one of the perks of working for a startup is receiving equity in the company.

Stock Options 141

Stock Options Startup Stock Salary 141

Startup Professionals Musings

AUGUST 20, 2010

The intent of this question is to determine the level of commitment of founders, both cash and "sweat equity,” and how much others have already invested into this plan. As an employee, you salary will likely be low, your job security low, so the job title better be large, and the stock options better be large.

Due Diligence 229

Due Diligence Sweat Equity Intellectual Property Startup 229

infochachkie.com

SEPTEMBER 24, 2011

Beware The Consultant John Greathouse – Posted in: Cash Flow Management , Launching Venture , Strategic Planning. Instead of hearing from your long lost third-cousin, you will be inundated with an avalanche of ‘congratulatory’ emails, calls and letters from people who want to relieve you of the burden of your hard-earned equity round.

Equity 40

Equity Silicon Valley Cofounder Technical Review 40

Ben's Blog

APRIL 28, 2010

joined as a General Manager of the Computing Tabulating Recording Company, but renamed the company International Business Machines and turned it into the IBM we recognize today. Salmon points out that “not a single one of the 12 [candidates] is a CEO who was hired to run a company by its board of directors.”. If you do, hire him!

Technical Review 78

Technical Review Cofounder Technical Cofounder Software Review 78

ithacaVC

JUNE 20, 2011

2. You need (or think you need) a stock option plan: granting stock options (and other forms of equity compensation to employees like restricted stock) should be done under a written equity incentive plan. Lawyer time required: 5 to 10 hours dependent on how fast you are hiring.

Stock Options 58

Stock Options Vesting Subscription Agreement Founder Vesting 58