Seed stage startup offer advice
I just received an offer from a seed-stage startup for $147k base and 0.5% equity in the form of stock options to join as one of the first engineers. I am currently an L3 at Google with a base of $135k. The startup raised 4.2m in their seed round, but I don't know the valuation yet. I'm not quite sure what to consider when considering an offer from such an early stage start up. Any advice or suggestions? I'm particularly interested in learning what I should be looking for in terms of equity. #startup #seed #faang #google #equity
What is your current TC ? If TC is a criteria for next move then better donât join in a startup
My current TC is around 185 with stock and bonus. TC is definitely important but not the biggest deciding factor. I like the space, mission and potential impact of the product, and think it could be a good opportunity for growth
How come you TC is low .. are you not full time with Google ?
Google DM me please
Stay at Google. Recently left a startup, not worth it tbh
Leave Google. Recently startup got acquired, totally worth it. ^^ Generalized statements like this don't really help OP. Like the other comment said, look for past history of the founders and the potential market for the product to decide. Sometimes it may be about your passion (like EV, autonomous vehicles, AR/VR or AI) where someone may pursue something even though it may be far fetched and TC may be lower
It can be simplified to something like: Are you confident in your abilities to find and wear a venture capitalist's hat. Are you willing to wait 5+ years before you even know if your equity is worth something (or until you can sell on the startup equity market)? If the answer is no to both of those, stick with Google. There are other factors to consider, but as someone at a late stage newly minted unicorn, I don't think I would accept an offer from Google right now if I was somehow able to get one. At the same time, I think if I was already at Google, I wouldn't want to leave for an early stage startup unless they have a lot of coverage and have a recognizable name (or I was already financially secure).
youâre young in your career, you should spend a couple more years at a place like Google and be a sponge. startups have very little structure and youâll be grinding out more code than youâll be learning. especially since you presumably wonât be architecting the systems theyâre building out, at least at first.
Oh! You mean take risk when old? Interesting...
So in Google or big tech junior roles , they architect , develop, test and release stuff ? I thought in those places , less learning is possible than in a start up . I learned a lot on a start up like company than in a big company as in big company most of the aspects of trade got dedicated teams and you get less visibility on end to end under the hood stuff
base is higher and equity is quite reasonable for L3. take it. valuation likely $25m nothing exceptional these days
This is weird offer for seed stage. Expect more stocks, less cash on this.
The offer isnât good
Ask for 1% and take the gamble. As long as you like the team, company and product that theyâre selling. If you see potential. Also, if you can financially afford the gamble. Your stake is going to get diluted but if youâre able to get more every promotion, then itâll be worth it
Donât go
First evaluate what are they selling. Are they pre revenue or post? Or still figuring out product market fit. Once you are confident in what they are and they have good future then this offer is a good one.
Totally. Also, who are the founders? Is this their first start up or their second or third? If the latter, what were the outcomes of those prior companies?