Remove Differentiation Remove Technical Cofounder Remove Vesting
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. Giving a cofounder a salary won’t get you the “fire in the belly” you want. Each cofounder should get equity for value, based on these key variables: Lived a key role in a previous startup.

article thumbnail

5 Keys To Negotiating Your Fair Share Of Any Startup

Startup Professionals Musings

If none of these five items is a clear differentiator in your case, a logical approach would be to assign each an equal weight of 20% of the total, and partition the total equity based on each co-founder’s correlation to each variable. The CTO of many technical startups was the original founder. But don’t get greedy.

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

If none of these five items is a clear differentiator in your case, a logical approach would be to assign each an equal weight of 20% of the total, and partition the total equity based on each co-founder’s correlation to each variable. The CTO of many technical startups was the original founder. But don’t get greedy.

Equity 238
article thumbnail

How Much Founder Stock Should You Offer Co-Founders?

Startup Professionals Musings

If none of these five items is a clear differentiator in your case, a logical approach would be to assign each an equal weight of 20 percent of the total, and partition the total equity based on each co-founder’s correlation to each variable. The CTO of many technical startups was the original founder. But don’t get greedy.

Cofounder 261
article thumbnail

Are You Getting Your Fair Share Of Startup Equity?

Startup Professionals Musings

If none of these five items is a clear differentiator in your case, a logical approach would be to assign each an equal weight of 20% of the total, and partition the total equity based on each co-founder’s correlation to each variable. The CTO of many technical startups was the original founder. But don’t get greedy.

Equity 120