article thumbnail

5 Equity Distribution Parameters For Key Contributors

Startup Professionals Musings

I always tell entrepreneurs that two heads are better than one, so the first task in many startups is finding a cofounder or two. So, the first question I usually get is what percent of the company or equity is that person worth? Giving a cofounder a salary won’t get you the “fire in the belly” you want.

article thumbnail

5 Keys To Negotiating Your Fair Share Of Any Startup

Startup Professionals Musings

So the first question I usually get is what percent of the company or equity is that person worth? Just because it was your idea doesn’t mean you “deserve” 90% of the equity. The value in a startup is all about tangible results, so I see no equity value in the idea alone. Textbook knowledge and academic degrees don’t count here.

Cofounder 435
Insiders

Sign Up for our Newsletter

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

article thumbnail

Is a Venture Studio Right for You?

Steve Blank

But these look for founders who have a technical or business model insight and a team. Accelerators provide these teams with technical and business expertise and connect them to a network of other founders and advisors. In exchange for attending an accelerator, startups give up 5% to 10% of their company’s equity.

article thumbnail

5 Criteria For Splitting Equity In Your New Venture

Startup Professionals Musings

So the first question I usually get is what percent of the company or equity is that person worth? Just because it was your idea doesn’t mean you “deserve” 90% of the equity. The value in a startup is all about tangible results, so I see no equity value in the idea alone. Textbook knowledge and academic degrees don’t count here.

Equity 238
article thumbnail

Are You Getting Your Fair Share Of Startup Equity?

Startup Professionals Musings

So the first question I usually get is what percent of the company or equity is that person worth? Just because it was your idea doesn’t mean you “deserve” 90% of the equity. The value in a startup is all about tangible results, so I see no equity value in the idea alone. Textbook knowledge and academic degrees don’t count here.

Equity 120
article thumbnail

How to find the right cofounder

NZ Entrepreneur

Wondering how to find the right cofounder but don’t know where to start? If you’re scared about giving up on control or equity, then read on. Finding a technical cofounder. Hence you need what they call in startup world a “technicalcofounder. Finding a non-technical cofounder.

article thumbnail

How Much Founder Stock Should You Offer Co-Founders?

Startup Professionals Musings

The first question I usually get is what percent of the company or equity is that person worth? Just because it was your idea doesn’t mean you “deserve” 90 percent of the equity. The value in a startup is all about tangible results, so there is no equity value in the idea alone. Key to required patents or trade secrets.

Cofounder 261