Startup Employee Compensation Explained
Employee compensation can be tricky to figure out. This article offers guidance on how to calculate fair compensation and equity packages for startup employees. The Importance of Market Research in Determining Compensation and Equity For fair startup compensation, it’s crucial to analyze salary data and equity norms in your industry and region. This market research…
8 Risks of Working for a Startup
Embarking on a journey with a startup can be an exciting venture, filled with opportunities for innovation, growth and impact. However, like any expedition into uncharted territory, it comes with a unique set of challenges and risks. From long hours and limited pay to the pressure of consistently delivering results, employees in the startup ecosystem…
How Much Should I Pay my First Startup Employees?
Navigating the intricacies of compensating your first startup employees can be complex. It’s crucial to strike the right balance between budget constraints, competitive market rates and the value each individual brings to your nascent team. Only you can truly decide the exact numbers. However, this article provides general guidance on how to determine the appropriate…
Startup Founder Salary: How Much Should You Pay Yourself?
Determining how much to pay oneself as a startup founder is a complex and often tricky decision. Because it’s so personal, it’s often hard for this decision not to be highly emotional for founders. While there is no one-size-fits-all approach, founders should consider their personal financial situation, industry norms, business needs, and their own skills…
Workers at My Startup Are Willing to Work for Equity Only. Is that OK?
Equity compensation can be a powerful incentive, particularly in early-stage startups, where the upside is massive if the company is successful. Some employees might even express willingness to work solely for equity, bypassing traditional cash compensation. But is this practice as straightforward as it seems? In this article we explore the risks and legal implications…
Startup Internships: Why They Matter for Your Business
Free interns sounds great right? Well, startups should understand that the rules surrounding unpaid internships are fraught with complexity. In this article, we will unpack the federal and some state regulations that govern this often nebulous aspect of employment law. Before hiring unpaid interns for startups, you’ll need to understand regulatory requirements; the potential benefits…
Startup Advisor Compensation: What’s a Typical Equity Award?
Advisors bring immense value to startups through their expertise, experience and networks. They provide guidance on strategic planning, fundraising and industry insights. They can also help navigate building challenges, make informed decisions and accelerate growth, ultimately increasing the likelihood of success in a competitive business landscape. A critical question to answer is: How do you…
Startup Board Member Compensation
A well-functioning board is the company’s brain trust that steers the company amidst a tumultuous sea of a startup’s life. But as you assemble this team of seasoned professionals, one question often presents a significant challenge: “How should I compensate my startup board?” The answer isn’t always straightforward, with options spanning cash, equity, expense coverage…
What Do I Need to Do When an Employee Quits?
There are a number of reasons employees may be leaving the company. Perhaps they found a better opportunity elsewhere. Perhaps they are heading to grad school. Perhaps they hate their job, won the lottery or want to travel the world. The exit may be on good terms, or there may be bad blood. No matter…
What Do I Need to Do When an Employee is Fired?
There’s a startup adage: hire slow and fire fast. This means that you should take your time assessing whether a potential hire is the perfect fit for the organization. On the flip side, if it is not working out, it’s essential to be honest and cut them lose as fast as possible. But how do you…
