Factors to consider when splitting startup equity (4) - Deepstash

Factors to consider when splitting startup equity (4)

Market conditions. The state of the market and the industry in which the company operates may also influence equity distribution. Say, if a company is in a highly competitive market or seeking future funding from external investors, the founders need to give a larger share of equity in order to secure necessary capital.

14

75 reads

CURATED FROM

IDEAS CURATED BY

rubenlozanome

Growth Marketing Specialist for Startups.

Because we don't think about how to distribute equity in a startup until is late and when it is complicated to change things.

The idea is part of this collection:

Top 7 TED Talks On Customer Success

Learn more about moneyandinvestments with this collection

How to create customer-centric strategies

The importance of empathy in customer success

The impact of customer success on business growth

Related collections

Similar ideas to Factors to consider when splitting startup equity (4)

Factors to consider when splitting startup equity (3)

Future plans. Founders should also think about long-term goals and how equity splits may impact those plans. For example, if one founder plans to take on a full-time role with the company while the other intends to remain a passive investor, this may affect equity split.

Equity Market

Equity Market

An equity market is a market in which shares of companies are issued and traded, either through exchanges or over-the-counter markets. Also known as the stock market, it is one of the most vital areas of a market economy. It gives companies access to capital to grow their business, and investors ...

Read & Learn

20x Faster

without
deepstash

with
deepstash

with

deepstash

Personalized microlearning

100+ Learning Journeys

Access to 200,000+ ideas

Access to the mobile app

Unlimited idea saving

Unlimited history

Unlimited listening to ideas

Downloading & offline access

Supercharge your mind with one idea per day

Enter your email and spend 1 minute every day to learn something new.

Email

I agree to receive email updates