[ScottBurson]

You raise an interesting point. As difficult as it is continuing to be to hire top technical talent in the Valley, I wonder if some talented people might have sufficient leverage, particularly in a situation like this one where the employer is a small, underfunded startup, to get themselves options on preferred stock rather than common stock.

I'm sure that raises a host of complications vis-a-vis the cap table etc., but it nonetheless seems an intriguing possibility.

[uniquejosh]

Thanks a lot for your great comments.

yes, that is definitely an issue. In many cases,I think some people need to worry about their rent, monthly expense, or mortgage (personal burn-rate) to worry about. If you are in your early twenty, your personal burn-rate would be much lower than in your late thirty.

Shares/options are great for motivating the team. They are bonus. But, we all need to at least cover our personal bur-rate to live.

I feel, as a founder, at least I should not let my devoting team members worry about that.