Percentages for New Hires...

https://news.ycombinator.com/item?id=47763

by far33d • 19 years ago

9 6 19 years ago

news.ycombinator.com

Engineer, 5 years experience. Product close to launch, series A finished, in a specialized field. What option percentage should this engineer expect?

cperciva• 19 years ago

It depends.

A company such as you describe ("Product close to launch, series A finished, in a specialized field") might have 20 engineers building the project; or it might have 3 people and several million dollars of hardware. Obviously in the later case a new employee would make a greater impact on the company and thus be able to demand more options.

An engineer such as you describe ("engineer, 5 years experience") might be a 23 year old who got an entry-level programming job straight out of high school and has no particular expertise; or he might have a PhD and be a world-recognized expert in the particular specialized field in which the company is working. Obviously in the later case he would be able to demand more options.

All I can say with confidence based on the information given is that he should probably expect somewhere between 0.01% and 25%.

far33d2• 19 years ago

Ok.. let's say the person falls in the middle of all your described ranges. Less than 10 engineers, not a phd, not a high school kid, but experience is specific to what they are working on.

Obviously, that person wouldn't fall in the middle of your options range (12% is really high).

ph0rque• 19 years ago

hmmm... how about a logarithmic mean? This comes out to 0.5% (log10).

theremora2• 19 years ago

a tenth of a percent .001 to a quarter of a percent .0025 at best.

far33d2• 19 years ago

The venturehacks site has slightly higher numbers...

http://www.venturehacks.com/articles/option-pool-shuffle#mar...

theremora2• 19 years ago

sorry to split hairs but 5 is less than 5+ so they say Manager or Junior Engineer 0.2 - 0.33

with the top range being for proven elite contributors.

going into the deal everyone has to receive similar stock offers, but after you prove yourself, the standouts can double or more, what the original grant was.

Percentages for New Hires...

Related Stories