Early stage equity offer
Evaluating an early stage startup offer. Currently 8 employees total (execs plus a few engineers). Raised a series A a bit over $10M. Offering 0.6% equity + 170k base. 5 years exp
Depends what's your salary is
Salary is not bad. ~170
.6% is good
High salary and they raised over 10mm so yeah it’s good
I think it’s meh. Salary is ok but not great especially with likely barebones benefits. Too many execs are taking a cut of the early equity if they’re offering half a percent for their 4th eng at series A. Consider their exit plan and how many more rounds will dilute you before you have a chance of getting paid.
Disagree w the other comments. Not a bad deal. You can probably get the equity up a bit. You’ll know in 1-2 Years whether the co has a shot. If it does .6-1% is legit and life changing if the co does well. If not it’s great early stage experience and you can bounce back to a top public co or late stage pre-IPO.
Hmm, it would have to hit $1B for it to be life changing. If I negotiate up to 1%, I probably end up with 2/3 or that after later dilution. So walk away with 6-7 mil. As far as EV, 1% is probably worth 300-500k of preferred investor money at current valuation. Could get better than that at lyft or Uber right now.
You wouldn’t get better then that at Uber unless you were Staff or above in which case you’d need to be at that level already at palantir to be considered. I’d be shocked if you got more then that at a series a that has gotten some decent funding but seems like you’re not sold so do what you thinks best. Good luck with your decision!
.6% for a company of only 8 people and that too a “few” engineers, is that a normal amount?? I would expect at least 1.5%.
I mean I think it’s 4 engineers plus execs
He just wants you to get more equity than Dinesh.