evana71•1d agoMost Upvoted

My partner insists on a 50/50 equity split for every new hire, but I think it's killing our growth.

We lost a great candidate in Austin last week because she wanted a clear path to ownership, not just a flat share. I'm starting to think a tiered system based on role and tenure works better. What's your agency's policy?

2 comments

2 Comments

phoenixp301d ago

I read a case study about a design firm that had the same problem with a flat split. They switched to a system where equity grows with both time at the company and job level. It made a huge difference in keeping people past the two year mark. Your idea about a tiered system is spot on, it gives people that clear ladder to climb. Sticking to a rigid 50/50 for everyone just ignores how much different roles actually contribute.

river1831d ago

That flat split is a big reason you lost that candidate. We used to do the same thing and it held us back. Now we have a four year vesting schedule with a one year cliff, and we grant equity based on the seniority of the role. It gives people a real reason to stay and build something.