So we did not offer equity stakes when we had interns working for us. We offered them a chance to be a significant part of a small team, trying to pull off the

So we did not offer equity stakes when we had interns working for us. We offered them a chance to be a significant part of a small team, trying to pull off the impossible. As a student--especially from the top schools--I think you are more interested in a good summer experience where you learn alot. Not lots of pay or potential for options. If you can convince them that they will learn alot more in a life-or-death struggle w/ you guys and create software used by thousands of ppl the next day rather than sitting bored in a windowless cubicle writing some code no one will ever use....you are all set. If they need cash, they should do other stuff. If they want to test their limits, they should throw their lot in with you. :) Be careful tho. Unless you get stellar interns, they are usually more work than they are worth. By the time they ramp up, they are about to quit and go back to school. Just think about what you did during your summer internship and you'll see what I mean. Most ppl do jack, so don't expect them to increase velocity too quickly. (unless you've carefully chosen some superstars)