How much capital should a startup give to a senior engineer who joins after the completion of series B?

Updated on : December 6, 2021 by Sterling Saunders



How much capital should a startup give to a senior engineer who joins after the completion of series B?

I disagree ... a low two digit digit is not possible. In Series A, a CEO would perhaps score low double digits if he was highly qualified. A senior engineer with B series experience would be looking for ~ 0.3%.

In series B, the percentage of a founder was probably reduced to 30% ... less if there is more than 1 founder. There is no engineer worth low double-digit percentages in series B.

I agree with Robert. Unless you have incredible talent and experience and have a skill that no one else has, the best case is 0.20–0.30%.

But don't focus on the number. Look at the current valuation of the company and do the math. Is the resulting value interesting to you?

Then figure out what you expect the company's outcome to be and do the same again. Take into account the likely dilution over time, of course.

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