Renegotiating my TC

New bnxo37
Nov 12 17 Comments

35m / SoCal / TC $140k (all cash)

I work at a startup that's grown from about 5 employees to just under 100 in the 7 years I've been here. I'm currently underpaid, and the company owner knows it. He actually came to me yesterday, and said we're going to renegotiate my compensation package and that I'll be very happy. I'm not sure if he knows what it would take to make me truly happy, but I would appreciate some opinions on what everyone thinks I deserve.

I'm in a hybrid executive / engineer role, where I'm director of 2 different departments and coding whenever I'm not stuck in a meeting. I'm running multiple ecommerce sites (both B2B and B2C) that are each generating around $10M per year and quickly growing. I'm thinking some rev share from the sites might be in order. I have no equity in the company, and doubt this is even an option.

The logical progression here would have me promoted to VP of Digital or a similar title. How should I best approach this situation to get my measly TC as high as possible? I'm meeting with him tomorrow, and would appreciate any advice I can get.

If your best advice is to switch companies, how easily could I get a position with higher TC with the skill set mentioned below? I code at a LC easy level, so a high paying dedicated SWE job is not an option.

Resume excerpt of what I'm currently doing at my job:

Ecommerce/IT Director & Lead Software Engineer
2011 - Present

Managing development teams, evaluating stakeholder business requirements, architecting and deploying web-based software solutions. Full stack developer, building custom enterprise ecommerce, business intelligence, reporting, and IT infrastructure applications.

Director of ecommerce department, managing internal team and contractors. Strategic planning and deployment of multiple ecommerce websites. Overseeing digital marketing for all retail and wholesale channels. Built xxxx’s successful and rapidly growing retail and wholesale ecommerce businesses from the ground up.

Director of IT department, managing internal team and contractors, overseeing all aspects of corporate technology infrastructure, including on-site and cloud data centers, business continuity and security.

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TOP 17 Comments
  • New iplaw
    Wait and see what he has in store for you before you do anything that could spur the relationship. He may think he’s doing you a solid and may be very proud of the offer, so any negativity could put him off.

    I would listen to the offer and ask if you could have some time to consider it. Based on the offer, you can come back with an equity share for participating in liquidity events, revenue split or revenue-based bonus, title change, etc.
    Nov 12 2
    • New bnxo37
      OP
      Thanks... This is exactly what I was originally planning to do.
      Nov 13
    • This is the best advice here. Just wait and listen first.
      Nov 14
  • Accenture akijangun
    New TC?
    Nov 19 2
    • New bnxo37
      OP
      180 base + 1% of revenue from ecomm business currently making $5M+ annually, so basically around 230 with the ability to grow this by scaling up the ecomm site. Luckily I have an unlimited marketing budget to do so, as long as I hit ROI targets.
      Nov 19
    • Accenture akijangun
      Congrats! Well deserved!
      Nov 19
  • true[X] gVAq73
    what the.. 1% revenue of the business without a buy in? refer me
    Nov 18 2
    • New bnxo37
      OP
      I think my buy in is basically the past 4 years that I spent building the business from the ground up without getting a share
      Nov 18
    • true[X] gVAq73
      you’re incredibly lucky. even startup employees don’t get cash until an exit. you’ve basically went from being an underpaid employee to being a partner without any of the risk.
      Nov 19
  • New bnxo37
    OP
    Well, the results are in. I negotiated my TC up from $140k to $180k base + 1% of net revenue from the ecomm business, which equals approximately $50k this year, and which I plan to grow at least 25-30% annually.

    So basically, TC up from 140 to 230 with a conversation. Thank you guys again for all the info, and for encouraging me to stand up for what I deserve. 👍🏻
    Nov 18 0
  • New iplaw
    That’s a great result tbh. Glad it went smoothly. The 1% is a great incentive to push YoY growth.
    Nov 18 1
    • New bnxo37
      OP
      Thank you... it couldn’t have gone more smoothly. I simply told the owner where I wanted my TC, and he came back the next day with the other partner and CFO and hooked it up. And you bet I’ll be pumping that ecomm site to the max now.
      Nov 18
  • Amazon huntdaunt
    +1 on comment from “iplaw”
    For entertainment, I can share my gut numbers with you (take it for what it is...based on working for smaller B2B company and at Amazon, and working with leaders that have similar scope to what you describe).

    No equity: $200-$250+25% performance bonus+multiplier for beating your metrics.
    Less than 1% equity: $180-$200 + 10-20% cash bonus.
    At Amazon Seattle: you can shoot for a “senior manager” L7 (10 to 50 person team). $165K + stock/cash combo that would get you to $350-$400K TC range. $400 would be on the higher end, but L7 dev managers from Amazon can likely share more informed comp details.
    Nov 12 1
    • New bnxo37
      OP
      Thanks for the info, I appreciate it 👍🏻
      Nov 13
  • Amazon requiehm
    When's the last time you were given a raise/new comp package?

    What prompted him approaching you? Have you expressed your unhappiness to others?

    Are you willing to relocate if necessary?

    What was your experience prior to this company?
    Nov 12 0
  • New xzYN53
    230-300k cash plus 1-3% equity would be fair. But your founder is going to screw you over don’t worry... Get some comparables lined up to show them. Get the max u can. Then bail to a legit company
    Nov 12 0
  • New / Eng fyou.js
    Renegotiate after every big milestone
    Nov 12 0

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