Up and Running

OCTOBER 19, 2021

The American job market has become even more competitive amid the pandemic-fueled “Great Resignation” — the number of employees quitting their jobs peaked in April 2021 and has remained high over the past few months. . As a startup looking to hire your dream team, this news can be exciting. How to build your startup dream team.

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Startup Salary Stock Options Employee 127

Startup Professionals Musings

SEPTEMBER 22, 2012

Wouldn’t you like to be one of the lucky people who joined Google and Facebook when these were startups, and now be a multi-millionaire? So people ask me “How many shares should I ask for when I join a startup today?” Thus, stock doesn’t “pay the mortgage” today, so to speak. Advisory Board Member, 1% Senior Engineer,3 -.7%

Stock Options 230

Stock Options Stock Advisory Board Startup 230

Both Sides of the Table

AUGUST 14, 2017

As a starting point the board is intended to have legal and financial responsibilities to a few key constituencies: shareholders, debt holders, creditors, employees, government and major parties with whom the business operates. ICOs certainly have a place in startup financing.

Cofounder 217

Cofounder Stock Options Equity Technical Review 217

Startup Professionals Musings

SEPTEMBER 25, 2019

Wouldn’t you like to be one of the lucky people who joined Google and Facebook when these were startups, and now be a multi-millionaire or better? So people ask me “How many shares should I ask for or expect when I join a startup today?” Thus, options don’t “pay the mortgage” today, so to speak. 7% Product Manager,2 -.3%

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Equity Stock Options Advisory Board Stock 237

Startup Professionals Musings

MARCH 29, 2015

Wouldn’t you like to be one of the lucky people who joined Google and Facebook when these were startups, and now be a multi-millionaire? So people ask me “How many shares should I ask for or expect when I join a startup today?” Thus, options don’t “pay the mortgage” today, so to speak. 7% Product Manager,2 -.3%

Stock Options 120

Stock Options Stock Advisory Board Startup 120

Startup Professionals Musings

APRIL 10, 2016

Every startup founder loves to prompt for questions from investors and potential key team members about their vision, and the huge opportunity that can be had with their disruptive technology. Early stage burn rates over $50K per month, or a runway of less than six months may indicate an inefficient or desperate startup.

Sweat Equity 120

Sweat Equity Burn Rate Technical Review Intellectual Property 120

Startup Professionals Musings

MAY 8, 2022

Most entrepreneurs struggle with many startup founders quandaries in building their business, and these key dilemmas are probably the biggest source of pain and failure for the entrepreneur lifestyle. You have very little money, and you don’t want to give away your equity. The right motivated employees dilemma.

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Founder Hockey Stick Cofounder Liquidity Event 325

Startup Professionals Musings

APRIL 8, 2015

Every startup founder loves to prompt for questions from investors and potential key team members about their vision, and the huge opportunity that can be had with their disruptive technology. Early stage burn rates over $50K per month, or a runway of less than six months may indicate an inefficient or desperate startup.

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Technical Review Due Diligence Sweat Equity Burn Rate 120

The Startup Magazine

DECEMBER 17, 2023

Taking better care of your employees is not just a moral imperative; it’s a strategic necessity in today’s competitive business landscape. Employees are the foundation of any organization, and their engagement and well-being have a direct and profound impact on productivity, morale, and the overall success of the company.

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Employee Stock Options Programming Equity 110

The Next Web

SEPTEMBER 30, 2014

Dealing almost exclusively with first time startup founders, we tackle the following question with nearly all of our CEOs: How much equity should they give to the employees? In one instance, I told a CEO that we typically recommend a 15 percent stock options pool at seed/Series A stage.

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Equity Employee Option Pool Stock Options 154

View from Seed

AUGUST 6, 2015

When someone goes to work for an early startup, the compensation package general includes an annual salary, health insurance, and, instead of fixed-cost performance upside, a percentage of unvested options to purchase equity in the company. What’s the strike price ($ value per) of the options I’m being granted?

Equity 120

Equity Employee Cap Table Stock Options 120

View from Seed

AUGUST 6, 2015

When someone goes to work for an early startup, the compensation package general includes an annual salary, health insurance, and, instead of fixed-cost performance upside, a percentage of unvested options to purchase equity in the company. What’s the strike price ($ value per) of the options I’m being granted?

Equity 120

Equity Employee Cap Table Stock Options 120

Both Sides of the Table

JANUARY 21, 2010

If you’re a startup and you don’t have a close relationship with a few law firms you’re really missing one of the most important relationships that any entrepreneur can have. I write about some of the lessons in my post on Startup Mistakes. I know that people have an allergy to lawyers out of fear of being screwed.

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Southern California Silicon Valley IP Stock Options 318

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.).

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Dilution Equity Vesting Stock Options 150

Startup Professionals Musings

JULY 24, 2011

Wouldn’t you like to be one of the lucky people who joined Google and Microsoft when these were startups, and now be a multi-millionaire? So people ask me “How many shares should I ask for when I join a startup today?” Thus, stock doesn’t “pay the mortgage” today, so to speak. Advisory Board Member, 1% Senior Engineer,3 -.7%

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Equity Advisory Board Stock Options Stock 234

Steve Blank

MARCH 16, 2016

There are many reasons to found a startup. There are many reasons to work at a startup. To most founders a startup is not a job, but a calling. But startups require money upfront for product development and later to scale. Traditional lenders (banks) think that startups are too risky for a traditional bank loan.

Liquidity Event 120

Liquidity Event Founder Liquidation Preference Private Equity 120

Startup Professionals Musings

AUGUST 10, 2019

Most entrepreneurs struggle with many startup founders quandaries in building their business, and these key dilemmas are probably the biggest source of pain and failure for the entrepreneur lifestyle. You have very little money, and you don’t want to give away your equity. The right motivated employees dilemma.

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Hockey Stick Cofounder Liquidity Event Startup 243

Both Sides of the Table

MAY 27, 2013

He has grown our US operations from 1 employee (him) to a global organization of 75 employees that will finish the year with 8-digit revenues (90+% recurring) and more than 350% year-over-year growth. You may know how much to pay in cash or equity for your new VP Engineering. Startup Advice' Always seek input.

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Advisory Board CTO Hire Fractional CTO Los Angeles 365

www.inc.com

SEPTEMBER 24, 2011

Advisor. ); STARTUP. Employee Benefits. 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 But sharing equity can have pitfalls, too. Newsletters.

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Fractional CTO Equity Iowa Technical Cofounder 40

David Teten

AUGUST 1, 2019

Negotiating Employment with a Private Equity Firm – 7 Surprises to Expect. Joining An Early Stage Startup? Negotiate Your Equity And Salary With Stock Option Counsel Tips. Here’s How Startup Founders Should Offer Employee Equity. How to assign stock options in early-stage startups.

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Private Equity Equity Due Diligence Portfolio 60

Startup Professionals Musings

OCTOBER 21, 2017

Wouldn’t you like to be one of the lucky people who joined Google and Facebook when these were startups, and now be a multi-millionaire or better? So people ask me “How many shares should I ask for or expect when I join a startup today?” Thus, options don’t “pay the mortgage” today, so to speak. 7% Product Manager,2 -.3%

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Stock Stock Options Advisory Board Startup 140

Up and Running

SEPTEMBER 10, 2014

According to the Angel Capital Association: Angels (private money) invest in 55,000 startups each year versus 1,500 companies by VC (venture capital) funding. ” Yes, the JOBS Act (Jumpstart Our Business Startups) is exciting, and it will bring a lot more potential investors into the marketplace. Stock Option.

Angel Investor 159

Angel Investor Technical Review Software Review Accredited Investor 159

The Next Web

OCTOBER 8, 2015

As a rule, entrepreneurs are very protective of their equity, and try to keep 100 percent ownership for themselves. employees, partners) are appropriately motivated to help you succeed. lucrative sales commission plan, profit share plan), and sometimes that comes in the form of equity or equity linked incentives (e.g.,

Equity 60

Equity Employee Warrant Stock Options 60

VC Adventure

AUGUST 15, 2018

Most boards did some level of work to determine the FMV of a company’s stock but generally options were priced between 10% and 15% of a company’s then preferred price (because common equity sits behind preferred equity there is typically a discount applied to the FMV of common stock to account for this “overhang”).

Valuation 48

Valuation Common Stock Cap Table Software Review 48

prosperati.com

OCTOBER 23, 2010

Prosperati HOME BLOG ABOUT CONTACT Blog Can A Startup Do OffShore Development? Part 2 Posted 07.15.2009 in Blog In my previous article ( Can a Startup Do OffShore Development? Company Culture Once we completed the hiring of our key staff, the next step was to create a great startup culture. Culture creation is not easy.

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Offshore Malaysia Developer Stock Options 40

Business Plan Blog

SEPTEMBER 18, 2012

Reserve 10-20% Of Your Company’s Outstanding Equity For A Stock Option Plan. Equity incentives are a major form of compensation for most emerging growth and technology companies. It is critical for a start-up to consider this reality and reserve 10-20% of its outstanding equity for a stock option plan.

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Stock Options Stock Option Pool Dilution 61

The Next Web

AUGUST 12, 2013

Define how you want to motivate your employees every day to produce high-quality and industry-leading results. It’s unrelated to the startup world, but I can highly recommend to watch “ Being Liverpool ”. But that’s the case for only tiny amount of startups. Startups fail. When it comes to equity, be fair.

Cofounder 119

Cofounder CTO Hire Startup Europe 119

Feld Thoughts

OCTOBER 8, 2013

I am so very tired of MBO-based bonuses in startups. This is totally messed up in a startup. My partner Dave and I took the number, made a list of all employees, and figured out how much we were going to give each of them. Even better, consider using equity compensation as the bonus. Things are changing daily.

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Stock Options Technical Review Leadership Equity 146

chrischandler.name

NOVEMBER 1, 2010

If you’ve considered finding and asking a developer for his or her time in exchange for sweat equity, I’m going to strongly advise you against it. All the engineers I trust to execute a project swiftly, professionally and with quality, especially under startup conditions, will not touch an upfront equity deal with a 10-foot pole.

Equity 40

Equity Developer Entrepreneur Syndicate 40

www.drowningamerican.com

JUNE 22, 2012

Next → How we Hire for Sweat Equity (Part 2)… Posted on April 7, 2011 by Travis Biziorek. I’m not FaceBook or Twitter and have a s**t-ton of potentially imminent IPO stock options to offer someone. I want the guys (or girls) that have worked in a startup, but in a lower level position. Post navigation.

Sweat Equity 40

Sweat Equity Equity Hiring Technical Review 40

Startup Professionals Musings

NOVEMBER 2, 2012

If you really want to impress a startup founder as a potential employee, or you want to be a smart investor, you need to know the right questions to ask. You need to know this as a future employee, since it probably gates how long your new job will last. How much “skin” is already in the game? What’s in this deal for me?

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Due Diligence Sweat Equity Burn Rate Intellectual Property 244

Startup Professionals Musings

JULY 19, 2013

Most entrepreneurs struggle with many startup Founders dilemmas in building their business, and these key dilemmas are probably the biggest source of pain and failure for the entrepreneur lifestyle. You have very little money, and you don’t want to give away your equity. The right motivated employees dilemma. Marty Zwilling.

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Founder Hockey Stick Cofounder Liquidity Event 245

Both Sides of the Table

FEBRUARY 23, 2015

But not everybody has the right skills to build a highly successful and valuable startup from scratch. For some aspiring to be tech entrepreneurs, I often suggest a two-step process, as I argued in this post that “ The First Startup Founder You Need to Invest in Is You.” In fact, I would argue that most people don’t.

Technical Review 150

Technical Review Liquidation Preference Silicon Valley IP 150

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. Stock Classes: Common and Preferred.

Equity 56

Equity Employee Vesting Preferred Stock 56

Both Sides of the Table

MARCH 21, 2010

This is part of my ongoing series on Startup Advice. As startup entrepreneurs we all want to work with them because having their name as reference clients makes it so much easier for marketing, PR, selling to other customers, fund raising and even recruiting. Think of it as similar to an employee stock option.

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Warrant Dilution Startup Stock Options 298

David Teten

SEPTEMBER 10, 2019

Negotiating Employment with a Private Equity Firm – 7 Surprises to Expect. Joining An Early Stage Startup? Negotiate Your Equity And Salary With Stock Option Counsel Tips. Here’s How Startup Founders Should Offer Employee Equity. How to assign stock options in early-stage startups.

Due Diligence 60

Due Diligence Stock Options Covenant Private Equity 60

The Startup Magazine

AUGUST 6, 2021

The question for many entrepreneurs is, how do you start a business the right way with the right startup business structure? . You have to have a clear and powerful value proposition in order to attract and keep customers and your startup business structure needs to reflect that. Many startups recruit employees in this way.

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Limited Liability Company Silicon Valley Business Model Stock Options 165