Giacomo Balli profile picture
Giacomo Balli
Innovation consultant specializing in mobile strategy
Let's Chat

How to get paid at a startup company - A guide to salary, equity, shares, vesting, bonuses, payout etc

[caption id="" align="alignright" width="251"]Entering startup world Enter at your own risk... ☺[/caption] TL;DR: salary depends on funding (could still be high), high demand for developers, take into account different scenarios, keep things in writing, cash bonuses are hard to get, selling shares is not so straightforward, learn startup jargon. Working at a startup is not a normal job. A part from all the differences in energy, dynamics and attitude, there is also a completely different financial world tied to it. If you're considering joining or starting your own, you should at least skim through this. Here's the outline:

Salary

Seed-stage Companies

Bonuses

Equity

Anecdote

Starting Simple

How Much Equity

Equity Increase

Vesting Schedules

Trading Salary for Equity

Thoughts on Equity

Benefits

Conclusion


Some good links for further reading: Table of Option Grants Chris Dixon on shares Brad Feld on vesting schedules Investopedia jargon definitions Tony Wright on startup salary Co-founder equity calculator Vesting schedule calculator Calculator For Funding And Equity The $100 Startup - a classic Books recommended by Tim Ferriss via Robby Grossman.

#startup
Published: Sat, 23 Feb 2013 18:39:12 +0000