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You know whether it's probable that you'll get more equity, and what it takes to get there. Most engineers who join startups think that the 0.03% allocated whe

You know whether it's probable that you'll get more equity, and what it takes to get there. Most engineers who join startups think that the 0.03% allocated when they join will be increased later on, and that the initial grant is just a "teaser". I mean, it has to improve, just because it's so ridiculously low, right? (Well, no. In fact, it usually won't.) Perhaps 5 percent of the engineers who join VC-funded startups would still join if they knew that (a) their equity allotments wouldn't improve, and (b) the founders wouldn't take a personal interest in furnishing them with the connections/credibility to be founders in their next gig. That number becomes closer to 1-2 percent when you're talking about good engineers.

tptacek 13y ago
This is silly. Just assume that your allocation will not improve. If you're in a position to improve your grant later in your tenure, you'll either (a) know it, and secure it through negotiation, or (b) not know it and probably not get it. Having the cap table --- which you won't get anyways --- does not actually help you here. A feeling of entitlement isn't what gets you improved compensation. An understanding of your value on the market and a willingness to stand up for yourself is what does that. Put differently: so what if the cap table suggests you're unlikely to get an improved allocation? If you're worth an improved allocation, you'll get one or the company will lose you.