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> “equity is about alignment, not risk compensation” This seems like moving the goalposts to me, I have always heard the opposite: that the tradeoff of working
by Analemma_ 8y ago
> “equity is about alignment, not risk compensation”
This seems like moving the goalposts to me, I have always heard the opposite: that the tradeoff of working at a startup for a reduced salary is supposed to be that you get equity to compensate. If the equity share is tiny by the time you get to engineer #10, fine, but engineer #10 should get near-market salary to compensate. Otherwise there’s no reason not to go work for BigCorp if you don’t buy the starry-eyed promises about innovation and unique experience.
- jacobn 8y ago> "You should be able to pay market, and equity is about alignment not risk compensation."
- aggronn 8y agoI think the parent didn't see those as connected in my post. To clarify, in my OP, I meant it how you read it: After a Series A, you should be pretty close to market salary, and as a result, equity is about alignment not risk.