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Web Startup Lessons Advice from a CTO and Entrepreneur Home About Startup Advice: When to Use a ConsultingCTO There are not many to be found. Most likely, this is a person who is a serial entrepreneur and was the chieftechnologyofficer for two or more web startups. .&#
George Deeb is the Managing Partner at Chicago-based Red Rocket Ventures , a startup consulting and financial advisory firm based in Chicago. So, a fair split, would be closer to 60/40 in favor of the funding founder, when diluted for the cash. You can follow George on Twitter at @georgedeeb and @RedRocketVC.
Think of Werner Vogels (CTO of Amazon), Guido van Rossem (founder of Python programming language and senior engineer at Dropbox) or the more senior Gerard Kleisterlee (chairman of Vodafone). We have great intellectual property protection, and have efficient ways to enforce contracts. Think Philips Electronics, NXP, ASML and Tom Tom.
Should founders have anti-dilution rights? I am being offered a single digit percentage of outstanding shares, which I believe is based on the founder’s application of a share distribution as though I am in a CTO or a Director Of Engineering role. You’d have to look at your stock options contract. Five years?
Having too many co-founders will only lead to your eventual dilution. This leaves the CTO / Senior Architect to focus on product development and managing the recently hired engineers. While consultative reps are key to building new business with big accounts, relationship managers are key to retaining those accounts.
Should You Share Equity with Consultants? Science and TechnologyTechnology. 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 The 2011 Inc. 500|5000 List. The 2011 Top Lists. 500|5000 Conference.
I got this formula from a big compensation consulting firm. But it is based on a common practive in compensation consulting. The other important data point is the number of fully diluted shares. You get that by dividing the best value of your company ($25mm) by the fully diluted shares outstanding (10mm).
I’ve talked with a number of software development shops who are eager to get into the business of cofounding companies, i.e., getting product revenue and equity instead of just consulting revenue. Vlad and his team at DarwinApps are considering launching DevFund — their attempt at cofounding companies by developing the MVP technology.
Update Link to Questions, Topics and People Add Find Questions, Topics or People Comment Jason Crawford , Co-founder & CTO at Kima Labs 25 votes by Abinash Tripathy , Anon User, Dean Blackburn , (more) Chris Dixon says it all in a post titled "There Are Two Kinds of Pe. more) Sign up for free to read the full text. link] 8/12/15.
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