Hackers with no equity in company: good or bad?

#1

Post by prime0196 » Sat, Oct 06, 2007, 8:47 PM UTC

Does YC frown upon applicants who have hackers on their team but hold not equity stake? How should they be included in the application.

Re: Hackers with no equity in company: good or bad?

#2

Post by cperciva » Sat, Oct 06, 2007, 8:54 PM UTC

I'd list such people under "suckers". YC doesn't provide enough money to pay anyone a decent salary, so anyone who isn't getting equity is being short-changed.

Re: Hackers with no equity in company: good or bad?

#3

Post by prime0196 » Sat, Oct 06, 2007, 9:03 PM UTC

cperciva wrote: post #2

I'd list such people under "suckers". YC doesn't provide enough money to pay anyone a decent salary, so anyone who isn't getting equity is being short-changed.

They are being compensated, not looking for YC to do that.

Re: Hackers with no equity in company: good or bad?

#4

Post by rms » Sat, Oct 06, 2007, 9:03 PM UTC

Would it hurt to throw them a couple percent?

Re: Hackers with no equity in company: good or bad?

#5

Post by prime0196 » Sat, Oct 06, 2007, 9:07 PM UTC

rms wrote: post #4

Would it hurt to throw them a couple percent?

What would be the reason for "throwing" them an equity stake? Many people believe this makes a person more dedicated to the company, which is absolutely false.

Re: Hackers with no equity in company: good or bad?

#6

Post by sama » Sat, Oct 06, 2007, 9:07 PM UTC

you will not get accepted.

Re: Hackers with no equity in company: good or bad?

#7

Post by rms » Sat, Oct 06, 2007, 9:20 PM UTC

prime0196 wrote: post #5

rms wrote: post #4

Would it hurt to throw them a couple percent?

What would be the reason for "throwing" them an equity stake? Many people believe this makes a person more dedicated to the company, which is absolutely false.

Make it vest and you've got nothing to lose...

Re: Hackers with no equity in company: good or bad?

#8

Post by pg » Sat, Oct 06, 2007, 9:38 PM UTC

prime0196 wrote: post #5

rms wrote: post #4

Would it hurt to throw them a couple percent?

What would be the reason for "throwing" them an equity stake? Many people believe this makes a person more dedicated to the company, which is absolutely false.

Then why do you think startups have such a thing as options? Do you think everyone else is just mistaken in believing that equity matters in startups?

Re: Hackers with no equity in company: good or bad?

#9

Post by german » Sat, Oct 06, 2007, 9:45 PM UTC

prime0196 wrote: post #5

rms wrote: post #4

Would it hurt to throw them a couple percent?

What would be the reason for "throwing" them an equity stake? Many people believe this makes a person more dedicated to the company, which is absolutely false.

Why do you think that is false?

Re: Hackers with no equity in company: good or bad?

#10

Post by prime0196 » Sat, Oct 06, 2007, 11:00 PM UTC

german wrote: post #9

prime0196 wrote: post #5

Earlier quoted context omitted.

What would be the reason for "throwing" them an equity stake? Many people believe this makes a person more dedicated to the company, which is absolutely false.

Why do you think that is false?

There are too many other factors that come into play when it comes to selecting a good co-founder/equity holder. Things such as vision, rapport, dedication, etc. Equity/options are too compensate someone that you want in your company when you don't have the financing to pay them what they are worth.