Get Them Gators! A Primer on the Power of Dynamic Equity Splits for Potential Investors, Partners and Employees
Today nearly every startup company uses a pre-negotiated fixed equity split. Because startups change, the split that was right one day will be wrong the next. This means that in nearly every startup investment there are less-than alligators (<) representing people who have less than they deserve and greater-than alligators (>) representing people who have more than they deserve. In a fixed equity split every deal is an alligator pit.
When we approach the alligator pit we do it with fear, mistrust and a keen instinct towards self-preservation. These are not the best building blocks for creating an awesome company.
Get Them Gators! is a short guide to why dynamic equity splits are the perfect solution for every bootstrapped startup in the world. It is designed to introduce you to the power of dynamic equity splits. Slicing Pie, provides detailed instruction on how to implement a dynamic equity split.
Please note: this book does not describe how to implement a dynamic equity split. To learn that please read Slicing Pie: Funding Your Company Without Funds