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The equity slice in compensation depends on the salary and the stage of the company. When the company is just a drawing on a scrap of napkin and no way to pay
by andrewparker 18y ago
The equity slice in compensation depends on the salary and the stage of the company.
When the company is just a drawing on a scrap of napkin and no way to pay salary, it may require as much as 10-30% of the company to convince someone to come code for you. Based on this equity slice, the person would be essentially a founder.
When your company is a small prototype and can only pay enough salary to cover food, rent, etc, then you're probably looking at 2-8% of the company based on experience.
When the company is a couple thousand man-hours of code and you can pay a basic intro-level salary, then you're probably looking at 0.5-2% of the company, depending on experience.