I’ve done a significant amount of research and I feel comfortable that I know everything that I need to know to start moving on my startup. Before I start, I’d like to find some cofounders with experience in the area of my startup. Obviously the hope is that they are excited about the idea, but they also need to be getting equity in the company, but I have no idea how to judge what a fair amount of equity is. I have spent months researching this so I feel like it would be unrealistic to share equity with my cofounders equally, but if I offer 10% do I come off as stingy? I realize this boils down to what they bring to the table, but I am trying to get a better idea of how to go about evaluating this, I realize its not an exact science.
Questions
When talking to potential cofounders, what is a good offer to give?
3 answers from the community
A· Feb 10, 2015
See the following:
http://fundersandfounders.com/how-funding-works-splitting-equity/
http://thinkspace.com/how-to-divide-equity-to-startup-founders-advisors-and-employees/
http://www.entrepreneur.com/article/230450
A· Feb 12, 2015
+1. Good stuff.
A· Feb 14, 2015
Honestly, if you feel you know everything you need to know about starting a company from doing some research, you should probably give your cofounder 90% because you're going to need a massive amount of help.
I have never understood why people think coming up with a concept makes their contributions worth more. Ideas aren't worth crap. Don't be stingy. You'll screw yourself because no seasoned person will join. It'll be the blind leading the blind.