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I completely agree, but it's also extremely common. A lot of people get lured in by the equity. But do the math -- 1% equity on a $10M acquisition is $100k. E
by kenjackson 15y ago
I completely agree, but it's also extremely common. A lot of people get lured in by the equity.
But do the math -- 1% equity on a $10M acquisition is $100k. Even 5% on a $20M acquisition is just $1M.
Does anyone have data on how many people made more than $1M on a web start up acquisition or IPO in the past five years?
You need to get market rate, or darn close, or founder-level equity.
- aaronbrethorst 15y agoYou need to get market rate, or darn close, or founder-level equity. I have done the math, and I agree 100% :)