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

APRIL 10, 2016

Most founders like to talk about their many months or years of sweat-equity , but cash invested is a stronger commitment. Every startup should have at least a couple of outside advisors who are not major investors or family members, anxious to talk to new investors and key new hires. When did this effort really start, including pivots?

Sweat Equity 120

Sweat Equity Burn Rate Technical Review Intellectual Property 120

Startup Professionals Musings

SEPTEMBER 13, 2015

Being the leader doesn’t mean more equity, nor does it mean the leader will necessarily be CEO. The rest can come from early hires (with stock options to assure commitment), equity investors, or even strategic partners. It just means that the cofounders trust one of their own and are willing to follow.

Technical Cofounder 120

Technical Cofounder Cofounder Advisory Board Stock Options 120

www.inc.com

SEPTEMBER 24, 2011

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 Parker found that equity as compensation helped build loyalty to his company -- even among consultants.

Fractional CTO 40

Fractional CTO Equity Iowa Technical Cofounder 40

Startup Professionals Musings

APRIL 8, 2015

Most founders like to talk about their many months or years of sweat-equity , but cash invested is a stronger commitment. Every startup should have at least a couple of outside advisors who are not major investors or family members, anxious to talk to new investors and key new hires. When did this effort really start, including pivots?

Technical Review 120

Technical Review Due Diligence Sweat Equity Burn Rate 120

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? Focus on the partner you would be working with.

Southern California 318

Southern California Silicon Valley IP Stock Options 318

Both Sides of the Table

APRIL 19, 2011

o Early on they hired 3 people from ACT software at once (more team hiring) on staff and supplement it with Agency (in LA worked with First Communications – good). Called Tim Spicer (c-companies partner) and he told him matt, they only want one thing, more warrant coverage!!! Mark: 10% warrant coverage is like stock options.

Acquisition 304

Acquisition Warrant Customer Term Sheet 304

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

Both Sides of the Table

MAY 19, 2018

Your historical trading information including financials and a “customer file” which shows the history of your transactions so that investors can run “cohort” analyses Customer reference, personal references, key team members, compensation, cap table, stock option plan, etc. Some people find this elitist?—?I

Cap Table 336

Cap Table Due Diligence Forecast Churn Rate 336

Scalable Startup

AUGUST 9, 2018

They need the money to rent offices, hire staff, and establish their initial presence (website, incorporation, marketing). You’re less vulnerable, pay less equity for your funding, and you have some very specific things to talk about. High growth startup companies need seed money to get things going. The last point above is important?

Technical Cofounder 20

Technical Cofounder Silicon Valley Early Stage Cofounder 20

Up and Running

SEPTEMBER 10, 2014

Stock Option. If you are more of a technical person and not a business leader by nature, make sure your investor knows that you intend to hire a CEO to take your place as soon as reasonably possible. Management Resumes and Organizational Chart. Customer References. Personal References. But don’t ask for a non-disclosure.

Angel Investor 159

Angel Investor Technical Review Software Review Accredited Investor 159

Both Sides of the Table

AUGUST 18, 2009

To be clear – it is not about being stingy with or hoarding equity – it is about having a prenuptial agreement. What if the person performs OK, but not great and you need to hire above him? I believe that it very important to spread the equity. I believe that you should have a “partner&# or 2 in the company.

Founder 251

Founder Cofounder Equity Stock Options 251

The Next Web

MARCH 2, 2014

Should we finance with debt or equity? This is the ultimate question to consider when weighing funding options. For us, because we chose to finance with debt, we gave up almost no equity in the company, and therefore almost no dilution of stock options. Is this someone you really want to partner with?

Liquidity Event 139

Liquidity Event Equity Finance Stock Options 139

infochachkie.com

SEPTEMBER 24, 2011

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. The final straw came when I asked the latest 25-year old a simple ‘yes / no’ question related to stock options.

Equity 40

Equity Silicon Valley Cofounder Technical Review 40

Berkonomics

NOVEMBER 23, 2023

Here is the warning: The execution of equity allocations and of a good incentive program using equity is often mismanaged, damaging the corporate capitalization structure and even affecting the outcome of subsequent investment into the company. … Equity is divided between the founders and the business begun. Here are some rules.

Equity 62

Equity Stock Options Vesting Early Stage 62

Austin Startup

SEPTEMBER 19, 2017

In other cases, they may come from your channel partners or elsewhere. A strong advisor can walk you in the door to the same number of companies as 2–3 new sales hires. As for compensation, stock options in the range of 0.1% Perhaps they have previous leadership experience at these companies or are still there today.

Advisory Board 48

Advisory Board Sweat Equity Marketing Vertical 48

Gust

NOVEMBER 4, 2011

In brief, a cap acts to place a limit on the conversion price of a convertible note such that investors are guaranteed a minimum number of shares for their bridge loans if the startup does a priced equity round at a high pre-money valuation – “high” meaning above the cap, which is often a heavily negotiated term. (The of MySpace, Inc.

Valuation 98

Valuation Pre-Money Valuation Merger Vesting 98

thinkspace.com

SEPTEMBER 7, 2012

How to Divide Equity to Startup Founders, Advisors, and Employees. The part that I’d like to zero in on is when you’ve got a high growth company what are some of the best practices out there to distribute equity to the founders, advisors, and employees? Equity for Founders. Equity for Employees. Bookkeeper.

Equity 62

Equity Employee Founder CTO Hire 62

Berkonomics

SEPTEMBER 28, 2017

For those negotiating equity allocations it covers some of the most complex issues to address in the process. Here’s an example: First, a brand-new enterprise is often formed from the efforts of several “partners”, each with an expertise valued by the others. Equity is divided between the founders and the business begun.

Early Stage 102

Early Stage Equity Stock Options Vesting 102

Ben's Blog

APRIL 21, 2010

Six Months Later… Fast-forward six months and everyone in the company is wondering why the sales (or marketing or finance or product) guy who has produced nothing got such a monster stock option package. Meanwhile, the people doing all the work have much fewer options. Beware of equity being the primary motivation.

Stock Options 78

Stock Options Restful Hiring Sales 78

Berkonomics

MAY 12, 2010

First, a brand new enterprise is often formed from the efforts of several “partners”, each with an expertise valued by the others. 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.

Early Stage 85

Early Stage Equity Stock Options Vesting 85

ReadWriteStart

JUNE 15, 2012

(To learn more about how your startup can find, hire and keep the top talent and quality workers it needs to succeed, download this free ReadWriteWeb Report: The Talent Wars: Today’s Toughest Startup Challenge.). That is, they fill the technical co-founder role in exchange for equity rather than cash. Try the Techy Angels.

Developer 130

Developer Equity Ruby Cofounder 130

Ben's Blog

APRIL 28, 2010

When my partner Marc wrote his post describing our firm , the most controversial component of our investment strategy was our preference for founding CEOs. 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

A Smart Bear: Startups and Marketing for Geeks

MARCH 11, 2014

So hiring more people and being around more people and getting more things done is not actually one of the reasons. After that, I did it for a private equity firm then we became a part of a larger corporation. Why not get a partner? How do you split equity? Lots of things change. You know that I ran WinZip before.

Technical Cofounder 220

Technical Cofounder Cofounder Software Review Management 220

www.paulgraham.com

APRIL 28, 2010

Ifyour competitors offer employees stock options that might make themrich, while you make it clear you plan to stay private, yourcompetitors will get the best people. The fund managers, who are called"general partners," get about 2% of the fund annually as a managementfee, plus about 20% of the funds gains.

Technical Review 76

Technical Review Startup Software Review Angel Investor 76

venturehacks.com

OCTOBER 21, 2010

SUPPORTED BY Products Archives @venturehacks Books AngelList About RSS The Option Pool Shuffle by Nivi on April 10th, 2007 “Follow the money card!&# – The Inside Man, Three-Card Shuffle Summary: Don’t let your investors determine the size of the option pool for you. Solution: Use a hiring plan to size the option pool.

Option Pool 68

Option Pool Pre-Money Valuation Dilution Warrant 68

techcrunch.com

OCTOBER 23, 2010

Inevitably, the excuses begin: I need to hire people to build the product. In Meebo’s case, for example, I was lucky enough to partner up with Elaine and Sandy. No looking for partnerships (who’s going to partner with you anyway?). Partner up? Like I said, forget everything else and just get your product out the door.

Technical Review 84

Technical Review Cofounder Technical Cofounder Software Review 84

Austin Startup

SEPTEMBER 9, 2018

My private-company updates included new client wins, major client launches, big client up-sells, new executive hires, new marketing campaigns, challenges that we needed help with (such as a client contract renewal or a blocker at a client that was preventing them from properly adopting our nascent solution), new product launches, etc.

Advisory Board 48

Advisory Board Balance Sheet Stock Options Email 48