3 ms·
I'll add two more data points to 6% being a reasonably small amount. 1 - I had a great mentor years ago. His software company, which is still running strong f
by jhancock 17y ago
I'll add two more data points to 6% being a reasonably small amount.
1 - I had a great mentor years ago. His software company, which is still running strong for 20 years, gave 5% to each of several key employees (they had good salaries as well). He thought it a no-brainer and his success shows it.
2 - I had an investor in '98; things went sideways. The investor received both IT product/services from my startup plus 5% of my company in return for carrying my costs that year. When it became clear we needed to part ways, I called my old mentor to ask what to do. He told me to let the partner keep the 5% even if I didn't have to (I didn't and didn't even have to fight about it). He told me it was a small amount, it would get diluted over further investments and if those further investments never materialized, it meant the company is dying so the 5% is worthless anyway.