Startup Q&A
I'm asking for $2 Million investment for a 30% stake in my company. Lets say I secure it, what should my salary be? (Dropping out of University, no other source of income, and there is a second founder)
CEO and Founder of Kruze Consulting
Table of contents
No matter where you live, the short answer is that your salary should be as low as you can take. Your primary goal is to make that initial investment last as long as possible so that when you reach your next financing round you’ll be able to point to your many achievements and discoveries.
Now for the hard numbers. For seed stage companies, on average:
-
NYC based founders salaries are ~$120,000
-
Silicon Valley based founders salaries are ~$80,000
-
SF based founders salaries are ~$105,000
Kruze Consulting is a leading accounting firm working with seed and venture funded Delaware C-Corps. Funded startups choose Kruze Consulting’s team of CPAs, bookkeepers, CFOs, former IRS tax auditors, and venture experts. In addition to running the books, Kruze does tax, finance, and HR. Contact Kruze today!
Table of contents
Recent questions
Top viewed questions
- What happens if the IRS audits me and I do not have the receipt for an expense (assuming it was a legitimate expense)?
- How should convertible note financing be handled on the balance sheet?
- For startups incorporating in Delaware, what firms are good registered agents to use?
- How do startups account for equity and fundraising on the Balance Sheet?
- What does a US based company need to do to comply with IRS regulations in paying foreign contractors?
