Fourth post of comments on the 600 startup data. Today, it’s about how equity is shared following my post yesterday which focused on founders’ equity.
So as a simple model, it is 10% for (2-3) founders, 20% for employees, 50% for private investors (VCs and BAs – business angels) and about 20% for public investors at IPO.
In addition the 20% for employees are made of 8% of common shares, 7% of granted options and 5% of available options.
Finally non-founding CEOs have 3%, VPs 0.8% and CFOs 0.6%.
Independant board members have as a group 0.4%, they are in general 2 to 3, so it is about 0.2% per director.
If you want to dig in the topic, you may be interested in the following slides: