3 ms·
At the $80k level the money seems ok, not great, not bad. A 1y runway means your job is secure. Ask are they worth investing in? (You are investing 10k per yr
by abbasmehdi 15y ago
At the $80k level the money seems ok, not great, not bad. A 1y runway means your job is secure.
Ask are they worth investing in? (You are investing 10k per yr per step above as you come down that ladder to get more equity). This depends if they will succeed or not. A good way to judge their capability of succeeding is to look at who the investors are (750k). If they have a history of investing in similar companies that have been successful then know what they are doing, therefore it is likely these guys will succeed and you should go for a higher share in the company.
Also, for about $10k/yr you are buying $17.5k worth of the company at the current valuation going from $80k/y to $70k/y.
I say, if you believe in the idea and the team, plus the investors are solid, and you're not dying for cash, it might be worth going for a higher stake. Another thing, if I were you, I'd negotiate the equity too (pay me $70k but give me stake like $60k).
If you don't believe in them or are suspicious, then just take the $80k and go for a 1 yr startup ride.