I’m junior at vc backed startup that just raised a large series B (lets call it), I feel I’m undervalued in compensation. Do I ask for a raise? Just salary or more options as well?
Questions
Do you ask for a raise after the company secures Series B+ rounds?
2 answers from the community
A· Feb 4, 2015
Define junior.
If the value of your non-salaried compensation increased greatly, the burden of proof in asking for more salary is high.
If you're asking for more options/stock, the burden is even higher since value of said options/stock has now increased.
If your present cash compensation is too low to live on, that's a perfectly legitimate request.
Of course all of these are a function of "market" value - have you done your comps via Glassdoor or some such?
A· Feb 4, 2015
When you ask for a raise in any situation you have to demonstrate that you're worth more, for one reason or another. The argument that you should get more simply because the company has more money won't fly.
Always ask for money and for stock. This is because it will undercut some of their BS excuses. If they play the "we want to pay you more, but we have a fixed budget" card then you can simply retort "OK, I'll accept stock instead". Likewise, if they refuse to give stock for one reason or another you can simply ask for more direct compensation.
Asking for both simply improves your negotiating position, so in that sense it's a no-brainer. Make sure that you prepare some arguments to justify why you deserve a raise, though. Arguments that are persuasive by themselves and arguments that can be used to justify giving you a raise instead of your coworkers. If you're not negotiating with the CEO directly, also provide arguments that can be used to justify your raise to the bosses up the chain.