Ask HN: How much equity to give early folks

https://news.ycombinator.com/item?id=8350802
by jtoeman • 12 years ago
2 2 12 years ago

Here's the scenario: a company's been around and idle for a while, yet growing organically with no product development/new features/marketing/etc. Now its at the point where the founders are ready to put a team in place, build out the features/etc. Characteristics:

* 100's of thousands of users; many of which are active * High sticky factor * Past "MVP" / product-market-fit status * Huge potential market opp (let's call it a Dropbox-sized opportunity, though in a different feature/product category)

The founders still own the entire company. How much should they expect to give up for first engineer, first designer, etc in the context that they will likely skip a Seed round, and possibly never fundraise at all. In other words: strong potential of little-to-no dilution.

Any thoughts would be great!

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