Remove Dilution Remove Equity Remove Startup Remove Technical Cofounder
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

I always tell entrepreneurs that two heads are better than one, so the first task in many startups is finding a co-founder or two. 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.

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

5 Criteria For Splitting Equity In Your New Venture

Startup Professionals Musings

I always tell entrepreneurs that two heads are better than one, so the first task in many startups is finding a co-founder or two. 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.

Equity 238
article thumbnail

Are You Getting Your Fair Share Of Startup Equity?

Startup Professionals Musings

I always tell entrepreneurs that two heads are better than one, so the first task in many startups is finding a co-founder or two. 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.

Equity 120
article thumbnail

How Much Founder Stock Should You Offer Co-Founders?

Startup Professionals Musings

Two heads are better than one, so the first task in many startups is finding a co-founder or two. 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. Now comes the reality check.

Cofounder 261
article thumbnail

Flexible VC, a New Model for Companies Targeting Profitability

David Teten

More and more startups are pursuing Revenue-Based VCs , but “RBI” doesn’t fit everyone. From traditional equity VC, Flexible VC borrows the option to pursue and reap the rewards of an outsized exit. Our categorization is not a technical one. Flexible VC 101: Equity Meets Revenue Share. Equity Ownership. Example VC.

article thumbnail

Everything you always wanted to know about cofounders

Up and Running

I have seen many good friendships ruined after a startup venture goes south. Every business needs some technical skill and some business acumen. Should co-founders have the same equity stake? If you asked me this question before my first startup, I would have said why not? Skills Part. Conclusion.