
Startup equity is not cash.
Some of you are likely discussing taking a new role at a startup over Thanksgiving dinner this year, which is awesome.
One big tip: when you’re looking at the compensation in your offer letter, don’t translate the equity into dollars if the company is early stage.
You should negotiate for a good equity offer but taking a $10K cut in salary for “$10K more in equity” is an inaccurate bargain.
Gotta account for the time value of cash (that equity is not liquid today) and the potential of the equity to be worth zero (which is…high).
Negotiate hard. Feel satisfied you’re getting paid what you’re worth. But join this startup for the agency and learning and growth, first and foremost.
Good luck out there 🙏
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