[jgreenough]

Keep It Simple S*

Do equity and if you agree to share profits later the corp can pay a dividend along the lines of ownership. You can have two classes of stock which is different than investor stock if you want to only pay dividends to founders but it will affect price of investment.

The percentage is a negotiation based on what you think that person can do vs. what you can do without the person. A great product with no development is worth little to nothing. Same thing for great BD with no tech, nothing to sell.

If you want to set up a sales/comp plan then that is slightly different than profit share but since you are tech this does not apply. In comp plans you would pay BD guy a percentage of the sales contract but if you don't know the value of the product then this will be a tough negotiation. Also remember the non-tech person probably has more practice negotiating.

If he wants you as a co-founder negotiate equity starting at 50%. If he wants you as an employee then you should get a salary. This is all a negotiation of who bears the risk. The more risk you bear the more you should get in reward, ie more than 10% for 3-5 years of work. Lots of advice about this on VentureHacks.