Remove Hiring Remove Management Remove Option Pool Remove Startup
article thumbnail

Equity for Early Employees in Early Stage Startups

SoCal CTO

I was asked by a reader how much equity he should give out to early employees and to service providers in a very early stage startup. The first few people into a startup are on a spectrum of founder vs. early employee. For your first key hires, three, five, maybe as much as ten, you will probably not be able to use any kind of formula.

article thumbnail

Beware of Premature Merge Elation

Both Sides of the Table

There is a telltale sign of an inexperienced startup entrepreneur. As a startup you shouldn’t focus on buying other companies until you’ve figured out your own business. As a startup you shouldn’t focus on buying other companies until you’ve figured out your own business. I understand this.

Merger 276
Insiders

Sign Up for our Newsletter

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

article thumbnail

Why I left Wall Street to figure it out.

Austin Startup

This was my time at a Wall Street firm that had hired me after I applied for their Junior Stockbroker position, a little while after I graduated from college. Austin, TX Fast forward 4 years later, here I am working for a startup at the South By South West Tech & Music festival in Austin, TX. I heard them but said nothing.

article thumbnail

When The VC Asks: About Your Hiring Plan

Hunter Walker

Whether it’s adding capacity to an existing function (#MawrEngineers) or bringing new talents onboard (“we intend to make our first marketing hire”), glossing over these bullet points towards the back of the pitch deck would be a mistake. I’m interested in not just what these people will be doing but how and when they’ll be hired.

Hiring 108
article thumbnail

The Future of Startup Funding

www.paulgraham.com

Want to start a startup? August 2010 Two years ago I wrote about what I called " a huge, unexploitedopportunity in startup funding :" the growing disconnect betweenVCs, whose current business model requires them to invest largeamounts, and a large class of startups that need less than theyused to. Get funded by Y Combinator.

Startup 93
article thumbnail

What is it Like to Negotiate a VC Round?

Both Sides of the Table

Over the years I’ve written extensively about the downsides of convertible notes for startups such as here , here and here. How much is in the option pool? If you have 8 senior managers in place and I don’t think you’ll need as many people I might accept an option pool of 8% unallocated.

article thumbnail

Changing Equity Structures for Early Startup Employees

www.instigatorblog.com

Home About Contact My thoughts & lessons learned on startups, entrepreneurship, marketing and other stuff. 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. the better the startup will be. 1% is just not a lot.

Equity 41