| > Any advice? Hire an attorney! Get legal advice. Being compensated with equity can become a legal morass if the offerors don't understand the rules. > I'm also not sure what terms I can place in the agreement to protect myself and try to ensure that the shares don't end up worthless. What? By definition, it must be possible for the equities to become worthless. Equities are not cash, they are tied to the value of the company, and any company can become worthless. If this were not so, it wouldn't be equities. > The current proposal is to offer me $Y in cash and $Z worth of shares for every hour I work. Again, be very careful with this arrangement. Corporate board members can't just give you shares in the company without meeting some rather complex requirements. And all other issues aside, if this arrangement went on for a while, you might automatically become a voting board member (for a small company) which means you become responsible for what the company does. I suspect those making this offer simply don't understand corporate law. Be careful, and get competent legal advice. |