However, dynamic fractions of actions are very unusual because the process is not well understood. In addition, the dynamics of the split frighten people who want to catch as much of it as possible. Even the founder, who takes the side of generosity, will end up failing because he himself is being treated unfairly. If you think rationally about dynamic division, you will begin to realize that it is inherent equity and elegant simplicity. We are starting a new business. A total of 8 founding partners. There is a clear distinction between the seniority of different people (level 1: 3 people (partner), level 2: 3 people and level 3: 2 people. At the moment, we are discussing equity split as static level 1, 25% each, level 2: 10% and level 3: (4% – 3%) It seems to me that Level 3 people are not fairly compensated and should be rewarded more. We plan to split earnings per share.
What I have proposed to the team is that the interest is variable and depends on the absolute value of the winnings. For example, for small earnings (100,000 USD) the split bonus is in the same ratio as the top, but if the profit increases. (say a big gain of $1,000,000), the proportion of Level 1 people is reduced to 20%, and the 15% level share of Level 3 people increases to about 10%.) My idea behind this is that a small percentage of the small amount will not matter, but for a large amount of animals get 1 7x of a very large amount compared to stage 3 does not seem fair to me. Is this something that people have already discussed? A linear variable in the split of gains according to the absolute value of the gain. What do you think? Read it this way: Carlos worked 80 hours in January and was paid with $1000 in cash, and 80 hours more, he was paid with stock points with an x4 multiplier (linked partner multiplier). […] Dynamic stock fractions are not generally understood. If you`re trying to convince skeptical investors, employees or partners that dynamic sharing is the best way to send them a copy of Get Them Gators! […] The idea was first proposed by Mike Moyer — check out his Slicing Pie website. Slicing Pie`s promise of value is a “completely fair stock split.” The money for Carlos` salary won`t come out of nowhere.
The money is invested by Andrew and John. This needs to be taken into account. Here is the improvement in the capital table for January, which takes into account cash investment: traditional stock fractions are based on the ability to predict the future. It is impossible, so the division will be wrong. Vesting does little to defuse the problem. We can help you implement an agreement that reflects the principles of dynamic justice. We find that the best way to do this is to establish a shareholder pact with dynamic capital provisions tailored to your business. […] value of each participant`s contributions. Mike Moyer, who literally wrote the book on dynamic stock fractions, formula on the first […] If you think that a good solution to the above challenges of early capital allocation is to postpone an equity decision, the answer in turn is “Hardly as well”.