Equity for Early Employees in Early Stage Startups
SoCal CTO
SEPTEMBER 27, 2011
For your first key hires, three, five, maybe as much as ten, you will probably not be able to use any kind of formula. If i is the average outcome for the company with the addition of some new person, then they're worth n such that i = 1/(1 - n). of the company for him. of the company for him. n = (1.2 - 1)/1.2 =.167.
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