What sort of equity should I ask for a (pre-funding stage) start-up 2 yrs old but just starting to take shape. I will mostly be employee number 4 or 5?
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I am trying to determine if I should take salary or not. I will be working as a lead designer+business/marketing guy The start up is based in Canada The vertical is Healthcare + Technology
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Answer:
It depends on how much value you are bringing to the company. See Paul Graham's http://paulgraham.com/equity.html to calculate your worth. Let's say you are asking for 10%, then you should be good enough to increase the value of company by 11%. If you want to take a salary, then your percentage will go lower and need to be adjusted accordingly. I also like 's article on http://stockoptioncounsel.com/blog/joining-an-early-stage-startup-negotiateyour-equity-wisely-with-stock-option-counsel-tips/2014/2/12. Must read.
Pradeep Padala at Quora Visit the source
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