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And there are a bunch of suckers who put in X% the work that each cofounder put in and are getting (X/1000)% of that 500M. It's because they assumed 1000x less
by shrimpx 8y ago
And there are a bunch of suckers who put in X% the work that each cofounder put in and are getting (X/1000)% of that 500M. It's because they assumed 1000x less risk presumably.
- yks 8y agoActually, what is the 1000x risk for SV startup founders? They are not risking their own money and apparently not even their reputation (failed VC-backed founders tend to be able to get VC capital again) so on the face their risk is just to lose a job, same as for any other employee.
- shrimpx 8y agoYeah exactly. Many of these founders are on their 2nd startup and are already millionaires. Some poor nth employee is in fact risking a lot by e.g. quitting their nice life in a city by relocating, or quitting a promising career. Yet the founders' massively disporportionate ownership is chucked off to "risk". I for one hope for market forces that will rebalance these discrepancies. Talented 1st employee shouldering most of the technical brunt taking <1% plus dilution is selling oneself to the dogs.
- snovv_crash 8y agoWhat you're risking is your health, physical and mental. Being a founder is a hugely stressful job, and everyone I've seen spend 5 years as a founder has aged more like 10 years in that time.
- Zarath 8y agoThat's how capitalism works?
- lexs 8y agoand you don't see a problem with that?