If this is a common practice for you. Could you share how are currently achieving this?
Founders: Would you agree that team should own a part of a company?
1–10 of 34 posts
Re: Founders: Would you agree that team should own a part of a company?
#2Stock Options?
Re: Founders: Would you agree that team should own a part of a company?
#3Stock Options?
Stock Options != key equity ownership. Neither does employee equity, because the key word there is "key".
If you get hired at Amazon, you get stock options after your vest is done. This does not mean you have any real impact at all on company decisions.
The idea of employees owning the company is Marxism 101. No fucking way any founders in this economic system will be for it
Re: Founders: Would you agree that team should own a part of a company?
#4Nope and this is a big reason to avoid someone else's startup.
Re: Founders: Would you agree that team should own a part of a company?
#5Some companies have this model, others don't. The key is the word "should," it totally depends on what the owners want. One of the nice things about America is that it's very easy to start a company. Intel started when "team" left Fairchild.
Re: Founders: Would you agree that team should own a part of a company?
#6Cooperative business models do exist but it does not seem common at all for VC backed startups.
Re: Founders: Would you agree that team should own a part of a company?
#7Ownership can mean many things, including monetary ownership, passive stock, or part ownership in strategic direction. To the latter point, every team I've worked on that had a shared strategic vision was more productive, had higher morale, and was overall a more satisfying experience. I'm not sure anyone can quantify should in terms of compensation, but ownership of purpose and direction seems to fit.
Re: Founders: Would you agree that team should own a part of a company?
#8You need to explain the question further.
Should employees have some equity in the company? Of course. That’s the single biggest driving force behind the growth of the tech sector over the last few decades. It’s pretty hard for employees - especially at startups - to be fully bought in if they are getting a paycheck and nothing else.
Should every tech company be some kind of cooperative? That’s a harder one to answer, but this model hasn’t really been proven in the real world so until that happens it’s safe to say no, that won’t work.
Re: Founders: Would you agree that team should own a part of a company?
#9Perhaps you are interested in the "Mittelstand" model? It is hard to execute in America though, our business culture doesn't really align with it in recent decades. But that is probably changing.
Re: Founders: Would you agree that team should own a part of a company?
#10Ownership can mean many things, including monetary ownership, passive stock, or part ownership in strategic direction. To the latter point, every team I've worked on that had a shared strategic vision was more productive, had higher morale, and was overall a more satisfying experience. I'm not sure anyone can quantify should in terms of compensation, but ownership of purpose and direction seems to fit.
Exactly. I think people want to be treated like owners more than they want an obtuse legal status of being an owner. In other words, a seat at the table when strategic objectives are being defined is what will make them act like owners, not a RSPA document.