Hiring a CTO? Then this is the episode for you.
We discuss salary/equity compensation for startup CTO's at a seed-stage startup.
Show Notes
We were recently asked by a friend what a startup CTO's salary should be for a company with little to no revenue.
Peter and Jon decided to ask their network what "fair" compensation would be. Please remember that most individuals were making a recommendation only on partial information.
We presented the following to each individual.
What are the current terms for a Startup CTO?
- He makes $200,000 with $50,000 in equity and other benefits at his current job
- He’s willing to take a salary of $150,000
- The startup just raised $1M from a “notable” VC
- No details on the $1M raise is known
- Revenue is $5,000 MRR or less
The startup is asking him to make an offer.
I told them to put it back on them, and for him to also ask about:
- Total shares outstanding
- Details on the current cap table
- Current price for common stock
Venture Capital Podcast
Website: www.VentureCapital.fm
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Peter Harris
University Growth Fund: https://www.ugrowthfund.com/
Instagram: https://instagram.com/shodanpete?igshid=YmMyMTA2M2Y=
Twitter: https://twitter.com/thevcstudent
YouTube: https://youtube.com/channel/UCAHrQUxcm_Oa1t3emwttpAQ
Jon Bradshaw
Instagram: https://www.instagram.com/mrjonbradshaw/
Twitter: https://twitter.com/mrjonbradshaw
What is Venture Capital?
A podcast about venture capital, and what is happening each week. We discuss who is getting funded. Why specific companies were funded and much more relating to who the next big unicorn will be.