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Ask YC: Equity for First Developer

7 pointsby nextmoveoneover 17 years ago
I am the first hired developer in a team of 3, we are all equally responsible for the development of the site. I am already working at 63% of market pay and we are developing an equity deal which is open for negotiation at this point. What do you guys consider a fair amount, I'm gunning for 7-10% is that fair for everyone? <p>P.S. This is a part-time project for me.

8 comments

flashgordonover 17 years ago
Are you only investing your time? How many hours (a week)? Rather what proportion of time (compared to the others) are you investing?<p>What are the other guys getting paid.. both interms of stock and salary?
kieranoneillover 17 years ago
A lot more information needed as per the questions already asked:<p><i> How much has been created already? </i> Are they part-time also? * Has any money been put in?<p>But the truthful answer is that it's a negotiation between individuals, rather than a set amount, so figure out why the really need you and how you will turn around the fate of the company, making their equity worth more, and play on that.
zaidfover 17 years ago
In general 7-10% for a part-timer sounds quite high.<p>Almost as significant are the vesting terms which you haven't mentioned anything about.
daniel-cussenover 17 years ago
It sounds nothing like that thread a few months ago where the guys were going to give 2% to a developer. It looks like you're in the right ballpark. You should consider how much you're adding to the company by joining, as explained in the Paul Graham article, the Equity Equation.<p>I'd figure out different scenarios where your equity goes from 7% to 33%, and maybe even 45% if you're the only technical guy.
mrtronover 17 years ago
So, you are getting paid at a decent rate, plus getting 7-10% equity?<p>That seems like a good deal to me, almost a great deal, if they accept it.
nextmoveoneover 17 years ago
they are working part time and as it is their startup, they are not getting paid the only money they have poored in is for a vpn, incorporation and myself. <p>i am the third developer in a team of 3, the other 2 being them.<p>i am also contributing ideas for new features and refining current ideas that they have.
joeguilmetteover 17 years ago
can you be a bit more specific about your position and the compensation you are already receiving?
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rmsover 17 years ago
It's a part-time project for you or for everyone?
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