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Agree. The first thing I would discuss with a cofounder is my financial requirements. I'm not going to quit my job and draw a $100k salary (in SF) to start a co

Agree. The first thing I would discuss with a cofounder is my financial requirements. I'm not going to quit my job and draw a $100k salary (in SF) to start a company. I wouldn't be able to pay my mortgage, even on the most aggressive of budgets. So the decision for the cofounder becomes whether they want me involved. And my decision is whether the company will likely be successful with that burn rate. A single cofounder taking the same salary as me might push that burn rate over the edge. In which case, we just say no and move on.

k__ 9y ago
After I got into self-employment I got more into a "what do I deliver" mindset instead of a "what do I need" mindset. I think this is a better approach to calculating these things.
- phamilton 9y ago
  Equity changes that a bit. Especially for founders, equity is how you capture "what do I deliver". Salary is "what do I need". It's not a strict divide, and the calculus changes as the company matures.
  - k__ 9y ago
    True, but only for people who intent to sell their company.