Comments for thinkspace http://thinkspace.com thinkspace > office space for rent, virtual office, coworking, meeting rooms Mon, 21 May 2012 04:06:00 +0000 hourly 1 http://wordpress.org/?v=3.3.2 Comment on How to Divide Equity to Startup Founders, Advisors, and Employees by Animikh Sen http://thinkspace.com/how-to-divide-equity-to-startup-founders-advisors-and-employees/#comment-2876 Animikh Sen Mon, 21 May 2012 04:06:00 +0000 http://thinkspace.com/?p=7697#comment-2876 was that App ever created? thanks was that App ever created?
thanks

]]> Comment on How to Divide Equity to Startup Founders, Advisors, and Employees by Kofols http://thinkspace.com/how-to-divide-equity-to-startup-founders-advisors-and-employees/#comment-2875 Kofols Thu, 17 May 2012 12:05:00 +0000 http://thinkspace.com/?p=7697#comment-2875 Hi, Great post. I have a few questions and I would love to get your thoughts about some specific situations which might work in different ways. Can you post also a few template stock option scenarios for employee, Board of Directors and Advisory Board? It is possible to explain more about how stock option price should be determined when startup is looking for 1round? When is the most appopriate time for founders to make agreemnet with others; before or after 1round or is to too early? What obligations are common for employee, Board of Directors and Advisory Board when they execute their stock option and become owners? Which triggers are very common when someone want to sell a few stock? How internal stock price should be determined in closed companies and who is able to buy/sell stock and in which order or %. Thanks, Samo Hi, Great post. I have a few questions and I would love to get your thoughts about some specific situations which might work in different ways.

Can you post also a few template stock option scenarios for employee, Board of Directors and Advisory Board? It is possible to explain more about how stock option price should be determined when startup is looking for 1round? When is the most appopriate time for founders to make agreemnet with others; before or after 1round or is to too early? What obligations are common for employee, Board of Directors and Advisory Board when they execute their stock option and become owners? Which triggers are very common when someone want to sell a few stock? How internal stock price should be determined in closed companies and who is able to buy/sell stock and in which order or %.

Thanks, Samo

]]> Comment on Sari Crevin: Leap From Corporate Cog to Successful Entrepreneur by Briancollyer http://thinkspace.com/sari-crevin-leap-from-corporate-cog-to-successful-entrepreneur/#comment-2874 Briancollyer Wed, 16 May 2012 20:12:00 +0000 http://thinkspace.com/?p=9186#comment-2874 Wow, Sounds great would love to be there.  But we wont be there by May 31st. Brian  Wow, Sounds great would love to be there.  But we wont be there by May 31st.
Brian 

]]> Comment on Mobile Health’s Best: Nike FuelBand, Sleep Cycle, and Jawbone UP by Peter Chee http://thinkspace.com/mobile-healths-best-nike-fuel-band-sleep-cycle-and-jawbone-up/#comment-2872 Peter Chee Thu, 10 May 2012 05:27:00 +0000 http://thinkspace.com/?p=8918#comment-2872 Thanks for the interesting comparison between the Fitbit and Fuelband. I don't own a Fitbit so I can't really comment on this. The only comparison I did was between the Jawbone UP and Fuelband. The one thing that is fairly accurate is running on treadmill and comparing the miles that I ran and that was really close to be the same. One would think that Nike did test the Fuelband against things like Fitbit and treadmills to ensure that the measurements were somewhere in the same realm -- since that is what most people would be comparing to determine the validity of the product... Thanks for the interesting comparison between the Fitbit and Fuelband. I don’t own a Fitbit so I can’t really comment on this. The only comparison I did was between the Jawbone UP and Fuelband.

The one thing that is fairly accurate is running on treadmill and comparing the miles that I ran and that was really close to be the same.

One would think that Nike did test the Fuelband against things like Fitbit and treadmills to ensure that the measurements were somewhere in the same realm — since that is what most people would be comparing to determine the validity of the product…

]]> Comment on Mobile Health’s Best: Nike FuelBand, Sleep Cycle, and Jawbone UP by Matt N http://thinkspace.com/mobile-healths-best-nike-fuel-band-sleep-cycle-and-jawbone-up/#comment-2871 Matt N Thu, 10 May 2012 03:41:00 +0000 http://thinkspace.com/?p=8918#comment-2871 I did a 500 step test wearing both the fitbit and the Nike fuelband - fit bit got 516 steps (couple extra on the corners) and the fuelband got 79. This is a total fail in my mind. If you're into the game and concept of fuel as something fun to keep you motivated - go with the fuelband - if you care about accuracy or data at all, do not go with the fuelband. Sure the fitbit can have its errors or misfires depending on how you wear it or certain one off situations. But overall it is a far superior product if you're actually I trying to track steps or calories, even though the fuel band says it does track those things. I promptly returned the fuelband. I did a 500 step test wearing both the fitbit and the Nike fuelband – fit bit got 516 steps (couple extra on the corners) and the fuelband got 79. This is a total fail in my mind. If you’re into the game and concept of fuel as something fun to keep you motivated – go with the fuelband – if you care about accuracy or data at all, do not go with the fuelband. Sure the fitbit can have its errors or misfires depending on how you wear it or certain one off situations. But overall it is a far superior product if you’re actually I trying to track steps or calories, even though the fuel band says it does track those things. I promptly returned the fuelband.

]]> Comment on How to Divide Equity to Startup Founders, Advisors, and Employees by Peter Chee http://thinkspace.com/how-to-divide-equity-to-startup-founders-advisors-and-employees/#comment-2870 Peter Chee Thu, 10 May 2012 00:40:00 +0000 http://thinkspace.com/?p=7697#comment-2870 Sorry I missed Uri's first comment... just catching up on this. Thanks Harrison for posting a comment... I agree with you. Uri, every thing is negotiable and it really depends -- if there is already some initial funding does the company already have a valuation? Is the company a billion dollar business or a million dollar idea. I would say those kinds of things also should be factored in when determining how much equity might be granted to you. Sorry I missed Uri’s first comment… just catching up on this.

Thanks Harrison for posting a comment… I agree with you. Uri, every thing is negotiable and it really depends — if there is
already some initial funding does the company already have a valuation?
Is the company a billion dollar business or a million dollar idea. I
would say those kinds of things also should be factored in when determining
how much equity might be granted to you.

]]> Comment on How to Divide Equity to Startup Founders, Advisors, and Employees by Harrison Rose http://thinkspace.com/how-to-divide-equity-to-startup-founders-advisors-and-employees/#comment-2869 Harrison Rose Thu, 10 May 2012 00:27:00 +0000 http://thinkspace.com/?p=7697#comment-2869 Knowledge asymmetry is the primary basis for profit in equity transactions.  Consider the stock exchange, knowing something that will effect the price of a stock before it is well known allows you to make the right move with the stock. The same is true with employee equity.  The greater the inequity of knowledge about the company, the easier it is for the seller, in this case founders and investors through the Board of Directors, to provide the fantasy that improves the value of the equity involved.  This is like the notorious used car salesman who sells you a car that may be a lemon, and he knows it. Knowledge asymmetry is the primary basis for profit in equity transactions.  Consider the stock exchange, knowing something that will effect the price of a stock before it is well known allows you to make the right move with the stock.

The same is true with employee equity.  The greater the inequity of knowledge about the company, the easier it is for the seller, in this case founders and investors through the Board of Directors, to provide the fantasy that improves the value of the equity involved.  This is like the notorious used car salesman who sells you a car that may be a lemon, and he knows it.

]]> Comment on How to Divide Equity to Startup Founders, Advisors, and Employees by Harrison Rose http://thinkspace.com/how-to-divide-equity-to-startup-founders-advisors-and-employees/#comment-2868 Harrison Rose Thu, 10 May 2012 00:20:00 +0000 http://thinkspace.com/?p=7697#comment-2868 Your answer is quite clear, with an exception.  If the gestalt of the merger is expected to be significantly greater than the sum of the company values and cash, then the difference may be used as founders' shares and split appropriately. Your answer is quite clear, with an exception.  If the gestalt of the merger is expected to be significantly greater than the sum of the company values and cash, then the difference may be used as founders’ shares and split appropriately.

]]> Comment on How to Divide Equity to Startup Founders, Advisors, and Employees by Harrison Rose http://thinkspace.com/how-to-divide-equity-to-startup-founders-advisors-and-employees/#comment-2867 Harrison Rose Thu, 10 May 2012 00:16:00 +0000 http://thinkspace.com/?p=7697#comment-2867 This depends on the state in which the company was incorporated.  I believe in California, without actually buying shares or having a grant from a non-biased Board of Directors, the situation as described is fraud as the CEO is breaking his fiduciary duty to the minority shareholders.  I would seek legal counsel on this matter knowledgeable of the corporate laws of the state in which the company was incorporated.  This depends on the state in which the company was incorporated.  I believe in California, without actually buying shares or having a grant from a non-biased Board of Directors, the situation as described is fraud as the CEO is breaking his fiduciary duty to the minority shareholders.  I would seek legal counsel on this matter knowledgeable of the corporate laws of the state in which the company was incorporated. 

]]> Comment on How to Divide Equity to Startup Founders, Advisors, and Employees by Harrison Rose http://thinkspace.com/how-to-divide-equity-to-startup-founders-advisors-and-employees/#comment-2866 Harrison Rose Thu, 10 May 2012 00:08:00 +0000 http://thinkspace.com/?p=7697#comment-2866 I wonder what you decided.  In general, if the company is paying market rates in salary, then the table above plus a founder's bonus grant, is appropriate.  If on the other hand you are being paid anywhere between nothing and 20% below market rates, then you should receive a proportionate rise in the equity offer.  After all, you have to build a business and generate your own salary.  The further the concept is from coming to market, the bigger should be your equity piece. I wonder what you decided.  In general, if the company is paying market rates in salary, then the table above plus a founder’s bonus grant, is appropriate.  If on the other hand you are being paid anywhere between nothing and 20% below market rates, then you should receive a proportionate rise in the equity offer.  After all, you have to build a business and generate your own salary.  The further the concept is from coming to market, the bigger should be your equity piece.

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