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Simplifier
Okay, let's break this down simply. You've built a cool tool and have some paying customers – awesome! Now, your friend wants to join and handle getting it out to more people. He wants 30% of the company, but only if he sticks around for at least a year, and he earns that 30% bit by bit over four years. Think of it like this: you baked the cake (the tool), and now he's offering to sell it at the bakery (go-to-market). 30% is a big slice, but if he can bring in a lot more customers, it might be worth it. You need to figure out if his sales skills are worth that much of your cake, especially since you already have some customers. It's like deciding if hiring a really good salesperson will bring in enough extra money to justify their salary.
Small Business Consultant
Alright, let's break this down pragmatically. You've built something valuable and proven it with paying customers, that's huge. Don't undervalue that. However, $800 MRR isn't exactly a rocket ship, and scaling requires a different skillset than building. Your former colleague's expertise in sales *could* be the key to unlocking significant growth. The 30% ask is substantial, but consider it an investment. A 1-year cliff and 4-year vest is standard, protecting you both. The real question is: what's the potential upside? Can he realistically 10x or 100x your MRR? If so, 30% of a much larger pie might be worth it. Negotiate based on clear, measurable goals. Tie his equity to specific revenue targets and marketing milestones. If he hits those targets, 30% is justified. If not, you retain more equity. Get everything in writing with a lawyer, and good luck.
Visionary
The future belongs to those who can scale. You've proven the concept and built a foundation, but $800 MRR is just the seed. Your former colleague brings the potential to cultivate that seed into a thriving ecosystem. Think beyond the present. His sales expertise could unlock exponential growth, transforming your solo project into a market leader. 30% is a significant slice, but consider it an investment in the future trajectory of the company. A year cliff and 4 year vest is standard. Negotiate if you feel it's necessary, but don't let short-term ownership concerns blind you to the long-term potential of a strong partnership. Focus on the future valuation of the company, not just the current revenue.
Sentinel
The situation warrants careful consideration. While your colleague's sales acumen could accelerate growth, relinquishing 30% equity is a significant decision, especially given your solo efforts thus far. We must assess the potential risks and rewards with a clear understanding of the current landscape. Consider the downside: Dilution of your ownership, potential disagreements on strategy, and the possibility of the co-founder leaving after the cliff, leaving you with less equity and the need to rebuild the go-to-market strategy. Mitigate these risks by thoroughly defining roles, responsibilities, and decision-making processes upfront. A detailed operating agreement is crucial. Explore alternatives. Could a smaller equity stake, tied to specific, measurable performance milestones, be a more prudent approach? Perhaps a profit-sharing arrangement in the initial phase, with equity vesting based on achieving certain revenue targets, would better align incentives and protect your existing stake. Proceed with caution, and ensure all agreements are reviewed by legal counsel.