User Tools
Differences
This shows you the differences between two versions of the page.
| Both sides previous revision Previous revision Next revision | Previous revision | ||
|
faqs:cap-table:good-equity-distribution [2016/09/04 14:25] mdavis |
faqs:cap-table:good-equity-distribution [2016/09/19 12:42] (current) |
||
|---|---|---|---|
| Line 1: | Line 1: | ||
| - | ====== What is a good equity distribution? ====== | + | ===== What is a good equity distribution? ===== |
| As the leader of a company, you have many responsibilities. Among them is to set a vision for the company. Another is to lead (and motivate) your employees. Another is to attract and retain customers. In most industries, keeping employees happy is often key to keeping customers happy. Because start ups rarely have much cash, it is difficult to motivate employees with high salaries. It is the rare employee who will be excited to work for you on an exciting new project when they see that only you will become rich from their hard work. To solve this problem, you should share ownership with your employees. This creates a bond and common goal between founders and employees. Watch the great talk by Jerry Kaplan on this subject at [[http://ecorner.stanford.edu/authorMaterialInfo.html?mid=364]]. | As the leader of a company, you have many responsibilities. Among them is to set a vision for the company. Another is to lead (and motivate) your employees. Another is to attract and retain customers. In most industries, keeping employees happy is often key to keeping customers happy. Because start ups rarely have much cash, it is difficult to motivate employees with high salaries. It is the rare employee who will be excited to work for you on an exciting new project when they see that only you will become rich from their hard work. To solve this problem, you should share ownership with your employees. This creates a bond and common goal between founders and employees. Watch the great talk by Jerry Kaplan on this subject at [[http://ecorner.stanford.edu/authorMaterialInfo.html?mid=364]]. | ||
| Line 17: | Line 17: | ||
| **[[:faqs:cap-table:how-view-cap-table|How do I see the cap table?]]** | **[[:faqs:cap-table:how-view-cap-table|How do I see the cap table?]]** | ||
| - | **[[:faqs:analysis-captable:financial-review-cap-table|How do I determine if my cap table is reasonable?]]** | + | **[[:faqs:analysis-cap-table:financial-review-cap-table|How do I determine if my cap table is reasonable?]]** |
| **[[:faqs:irr:how-see-irr|How can I see the IRR my investors will actually receive (if I meet all the assumptions)?]]** | **[[:faqs:irr:how-see-irr|How can I see the IRR my investors will actually receive (if I meet all the assumptions)?]]** | ||
