Equity for Founding Engineers at Seed Stage: What Actually Works
The equity conversation is where most founders lose great engineers. Here is how to get it right.
Complete guide to structuring equity for founding engineers at seed stage. Learn market rates, vesting schedules, and negotiation frameworks that close top talent.
Who This Is For
This comprehensive guide serves seed-stage founders making their first few engineering hires. It helps founders who want to be competitive without giving away too much of the company. Engineers evaluating seed-stage equity offers will understand market rates and what to negotiate for. Topics covered: Standard equity ranges at seed stage, vesting schedule best practices, acceleration clauses, and how to handle dilution conversations honestly.
What We Have Seen Work
The best equity offers are transparent about dilution, include clear vesting schedules, and come with honest conversations about company trajectory. Engineers accept lower equity when they trust the founder. The key is radical transparency about: current cap table, expected dilution path, liquidation preferences from existing investors, and realistic exit scenarios. Founders who hide this information lose the best candidates.
Common questions