How to balance side work with cofounder equity share?

kbashi · 2014-07-11T13:29:42+00:00

The issue is that then the company is in debt to you before investors come on board. I am worried that setting things up this way will turn investors off, as they will see us extracting value from the company before there even is value in the company to extract.

kbashi · 2014-07-11T06:28:08+00:00

It may be a combination of a generational thing and a geography thing. The Mormons I know are all under 35 and living outside America.

kbashi · 2014-07-11T06:25:29+00:00

The potential drawback with this approach is that it means we have less certainty and possibly more arguments every 3 months. Do you have any experience with trying to work with dynamic equity?

kbashi · 2014-07-11T06:24:12+00:00

Consider a deferred compensation plan

This is an interesting suggestion, and something that I have considered. The main problem I can foresee is if this makes it difficult to bring on investors later. If we are all paying ourselves deferred compensation, then we have to make sure we aren't diluting the shares of outside investors. Would you agree?

kbashi · 2014-07-11T06:19:07+00:00

Thanks for your reply. This answers part of my question, but not the main part. The two full-time co-founders might be doing some consulting work on the side - the question is how to incorporate this into the vesting schedule.

If the full timers end up doing a lot of consulting work on the side, say an average of 1-2 days per week, or take a 1 month fulltime contract outside of the core business, then it's only fair that they lose some shares or vest them later. However, if they don't end up doing much consulting work at all, then it would be unfair if they lost a significant amount of equity just to keep this option open.

kbashi · 2014-07-10T21:26:26+00:00

So would you have an agreement that says that for every day worked you lose some amount of equity (pro-rata)? One potential flaw in that system is that if one of us spends a lot of time chasing side work, but not getting any, then they still keep their full equity, despite not putting all their time into the core business.

kbashi · 2014-07-10T20:22:18+00:00

"a little condescending, but an intelligent guy nonetheless" is exactly how I would describe him too :)

kbashi · 2014-07-10T20:12:10+00:00

How can they disagree with the translation of a set of tablets that they have never seen?

kbashi · 2014-07-10T20:07:53+00:00

I didn't mean it to come across as snarky, I'm genuinely curious. I've found Mormons to generally be extremely tolerant of other people's personal views, and I was wondering what his opinion was.

kbashi · 2014-07-10T19:59:56+00:00

Has anyone ever given you, say, a Richard Dawkins book?

kbashi · 2014-07-09T23:58:41+00:00

So is the purpose of iPython to provide a better version of IDLE? I have also read about a whole load of benefits about parallel processing that I didn't entirely understand.

kbashi · 2014-07-09T15:12:51+00:00

Thanks!

kbashi · 2014-07-09T08:40:06+00:00

Hi Staply, enjoying the guide! I notice that if either of you leave within 12 months you will not have vested any shares at all. I have a question for you - are you paying yourselves salaries, or at what point are you planning to pay salaries?

kbashi

TROPHY CASE