Ask HN- Compensation for first hire?

[Scotthm]

I run a digital publishing business that has grown nicely over the past few years, revenue is about $300,000 this year and has grown nicely each of the past few years. I am also employed full time and have a limited amount of time to dedicate to my business. However, I do not want to give my job up, as I have a lot of upside coming up in the next few years.

I have identified someone that I would like to hire/partner with as something similar to a co-founder. I have worked with him in the past and know that he will bring great value to the company, he is a true executer.

I know what he makes currently and that wonder what would be the best mix of compensation, equity, profit sharing and vesting to offer.

Any thoughts?

[benologist]

I think you should decide whether you want to hire or whether you want to partner. If you just want to hire put a competitive package on the table.

If you want to partner talk to him about what it would take to get and keep him highly motivated and driven.

Vesting should be over several years so you won't lose half your company if it doesn't work out in a short period of time.

[Scotthm]

Any idea what a typical vesting schedule would be for bringing on a partner a few years in?

[benologist]

4 years is pretty common and what I used.

[Scotthm]

Thanks, I appreciate the help.