Product & Startup Builder

Determining founder equity

Added on by Chris Saad.

If there’s a dispute about founding equity simply go back and revisit the story.

Determine everyone’s role getting the business to it’s current state and their intended participation moving forward.

There are standard equity positions for each role and each contribution based on industry best practices.

- Advisors get ~0-5% (depending on role and stage)

- Investors get ~20-30% per round

- Employees get ~2-3x their salary in options

- Operational/full time Cofounders get ~10-30% each (assuming 2-3 cofounders) 

No one should get 50/50 just ‘cause. #consultingconvos