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Be careful about equity and options!

Berkonomics

Here is the warning: The execution of equity allocations and of a good incentive program using equity is often mismanaged, damaging the corporate capitalization structure and even affecting the outcome of subsequent investment into the company. … Equity is divided between the founders and the business begun.

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Careful about equity and options in early stage businesses

Berkonomics

For those negotiating equity allocations it covers some of the most complex issues to address in the process. Equity is divided between the founders and the business begun. If there is only one class of stock, the same as the founders, and the appraisal of the single class of shares yields, say $2.00

Equity 256
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Equity is the currency of early stage businesses.

Berkonomics

Equity is divided between the founders and the business begun. Email readers continue here.] It there is only one class of stock, the same as the founders, and the appraisal of the single class of shares yields, say $2.00 Let me try to advance a few rules of thumb to help guide you here.

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Interview: Seth Epstein of SocialStay

InfoChachkie

Your team operates out of a barn on your idyllic, coastal property, yet you have created a world-class product. In the beginning, when there is nothing, it’s easy to make promises or throw around equity. We subscribe to the same philosophy.”. 7) My hat is off to you with respect to the degree you have bootstrapped SocialStay.

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