On Mon, Oct 13, 2008 at 10:06 AM, Nick Holmes a Court <[EMAIL PROTECTED]> wrote: > Sjors > > I think your model is extremely reasonable and appears to be one of the most > accurate time/risk vs value/reward models i have seen proposed for a startup > camp type environment. Thanks for your time and input in putting your > thoughts down for SiliconBeach. > > The only contribution i might have is that there is always the risk that: > > 1. Low worth ppl do lots of hours, don't add much value, and get unfair > equity/reward > 2. High worth ppl (eg sales/bizdev types) who may add significant value for > small amounts of time, might not be rewarded in a way which would > incentivise them to do so. > > Again - other than these small risks - the model you have proposed i > support.
Thanks Nick. I think there might be a way to minimize these risks: @1 : it's about billable hours and should work just like any normal contractor work, except that the contractor is proactive. In theory the company decides whether hours are billable or not and this constantly open to negotiation. Normally you should probably just trust your contractors to be reasonable, but if they game the system there are ways to deal with that. The thing that complicates it, is that in this case you expect your contractors to take initiative and you don't want them to wait for permission. A partial solution is that they should update their colleges very frequently on what they are up to. Colleges can then tell them to stop wasting resources. Formally you could give the company a 1-week-after-the-fact veto on billed hours, but make it clear that is a pretty extreme weapon. @2 I think all should be equal during the startupcamp (with exceptions in extreme cases), but after that, everyone is free renegotiate the equity contract for future billed hours. Of course, you'd have to be very careful with voting rights here and I can also think of a few very nasty loopholes. In general, I don't think it is possible to completely prevent people from gaming any system; if you can afford a good lawyer, you'll find a way. But then there's nothing (outside Australian defamation law) that stops your colleges from writing a blog post about how you treated your mates. Sjors --~--~---------~--~----~------------~-------~--~----~ You received this message because you are subscribed to the Google Groups "Silicon Beach Australia" group. To post to this group, send email to [email protected] To unsubscribe from this group, send email to [EMAIL PROTECTED] For more options, visit this group at http://groups.google.com/group/silicon-beach-australia?hl=en -~----------~----~----~----~------~----~------~--~---
