Shares In My Own Startup? How To Think Through Equity

2 min read

How to divide equity among cofounders and employees is a perennial question in startup world. This article builds on Startup101: How Do I Divide Equity Among My Cofounders And Employees?, expanding some ideas and introducing some new ones. 1) Core Principles i) Contributions – Give some weight to the contributions to date but the overwhelming focus should be about future contributions. ii) Ownership ≠ Control – Economic ownership is not the same thing as authority / control – it’s very possible and in fact quite a common situation for the person in charge (CEO) to not be the biggest shareholder. iii)…...

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Amit Garg I have been in Silicon Valley for 20 years -- at Samsung NEXT Ventures, running my own startup (as of May 2019 a series D that has raised $120M and valued at $450M), at Norwest Ventures, and doing product and analytics at Google. My academic training is BS in computer science and MS in biomedical informatics, both from Stanford, and MBA from Harvard. I speak natively 3 languages, live carbon-neutral, am a 70.3 Ironman finisher, and have built a hospital in rural India serving 100,000 people.