DancingNoodle
DancingNoodle

Equity as the first employee

I will be the first employee at an early stage startup. I have 2 YOE and was offered 0.25% equity with standard salary. Is the equity too less?

17mo ago
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GoofyDonut
GoofyDonut

Looks kinda less, for context I was offered 1% (over 4 years of course, subject to dilution later) for being the second employee some years ago

GoofyDonut
GoofyDonut

But also depends on how many folks they plan to hire. In my case it was only 4 hires initially

MagicalHamster
MagicalHamster

Hey @potatomato I think in this case you would be senior ~4-5 years of experience? And probably being hired to lead something?

For context, was offered 1% as well But typically at 2 YoE engineers are hired at 0.25% or 0.5%

WigglyBanana
WigglyBanana
DancingNoodle
DancingNoodle

Thanks!

WigglyBanana
WigglyBanana

@Phoenix69 there is an AMA happening on this topic
Have asked there as well since this data may not be India specific

FuzzyCupcake
FuzzyCupcake

Equity is gamble just like lottery ticket until and unless makes it to IPO or some company acquired it is all useless ask for more salary

TwirlyUnicorn
TwirlyUnicorn

@Phoenix69 are you an engineer? Or do you have any professional degree like CA, CS or CWA or law?

DizzyWaffle
DizzyWaffle

Equity is also offered as a multiple of ctc, can range from 0.25-0.5 of ctc for initial roles. Your main asset is the fact that you are an early joinee. If you like the founder, the company and the business model, work nicely. Esops and other things will follow.

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