What is your cofounder’s market value?
Don't know for sure, but market rates are somewhere around 100k to 120k
My co-founders asked for a €150k salary (Seed). What is your take on this?
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Re: My co-founders asked for a €150k salary (Seed). What is your take on this?
#12> I wonder what motivated them to ask for €150k To cover their monthly expenses? Because they have other options well above €150k? Because they want €150k? This is a you problem, not a them problem. Either get over it, get more money for yourself, or find a new job. > whether they are co-founding for the right reasons. What are the right reasons? Most people work for money.
> What are the right reasons? Most people work for money. The right reasons for co-founding are to grow equity in the short to medium term. Obviously. To some degree you must be aware of this, and your confusion that there is such thing as "too much" for a co-founder comes across as disingenuous. These are the right reasons in the sense that align the co-founders interests with the investors. Contrast this with a co-…
Thank you for sharing your perspective! The way I see it, every euro you don't spend on growing your business hurts the value of your equity. When we reach a certain level of product-market fit, it's a bad idea to pay yourself more than you really "need" because those dollars could be more valuable to the company. I'm all for paying people what they're worth and what they need, but if you're primarily motivated by a paycheck, you might be looking for a job, not a company.
Re: My co-founders asked for a €150k salary (Seed). What is your take on this?
#13Hard to answer without more info, so I’m going to make some assumptions, YMMV. Depending on the area and situation, $150k could be reasonable, or ludicrous. If it’s significantly above their personal expenses and you are uncomfortable with it, I would ask myself if they are cofounders or employees. You should have a candid conversation about what the seed money is for. It could be the case that they never considered…
Thank you for taking the time to share your perspective!
Are they co-founders or employees? That's the key question.
You are right though – perhaps they have not considered my perspective. And vice versa. I might be missing something as well.
I will take your advice into consideration when I talk to them about it.
Re: My co-founders asked for a €150k salary (Seed). What is your take on this?
#14>IMHO, the purpose of a founder's salary is to cover monthly expenses so we can focus on building the business Pay yourself same €150k, problem solved.
How does that solve the problem of needing to keep costs low? Silly.
Re: My co-founders asked for a €150k salary (Seed). What is your take on this?
#15>IMHO, the purpose of a founder's salary is to cover monthly expenses so we can focus on building the business Pay yourself same €150k, problem solved.
How does that solve the problem of needing to keep costs low? Silly.
If you are bootstrapping you dont need a $150K/year cofounder, you need one willing to put money into the business. If you are VC funded you need to pay yourself good salary, because chances of cashing out are very low and chances of burnout while doing 15h days on ramen are high.
Re: My co-founders asked for a €150k salary (Seed). What is your take on this?
#16Earlier quoted context omitted.
How does that solve the problem of needing to keep costs low? Silly.
If you are bootstrapping you dont need a $150K/year cofounder, you need one willing to put money into the business. If you are VC funded you need to pay yourself good salary, because chances of cashing out are very low and chances of burnout while doing 15h days on ramen are high.
You just added a whole new perspective. Thanks for sharing!
Re: My co-founders asked for a €150k salary (Seed). What is your take on this?
#17Never realized founders got paid a salary. I thought by starting a business you're passing up on salary by taking equity. Defiantly more interested in starting a business if I can draw a salary and be the equity holder.