Sean told me about this approach to compensating employees at an early stage startup and I'd be interested in some feedback:
You take what you normally would pay someone and for every dollar that they don't take in cash, you give them two dollars of equity.
So, if a developer normally gets paid $100k, and he agrees to work for your startup for $60k, then you have to give up $80k worth of options.
It's really the first time I've ever someone put something logical like that on paper. Has anyone seen this before?
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