> On Oct 12, 4:37 am, "Sjors Provoost" <[EMAIL PROTECTED]> wrote:
>> On Sun, Oct 12, 2008 at 9:19 PM, baker <[EMAIL PROTECTED]> wrote:
>>
>> > Have you looked athttp://www.fairsoftware.net/
>>

Thanks Alain for answering my comments. I'll just comment on the ones
where I did not make my point very clear.

>> * shares have no "absolute" value; it's just a percentage. In
>> particular, there's no ceiling.
>
> What do you have in mind with a "ceiling"?

A ceiling means that if you work 10 hours at $100 per hour, you will
never get more than $1000, even if the company becomes the next
Google. That's related to the question you ask in your next mail, so
I'll explain my motivation in a minute.


>> * contributors are suddenly contractors of another (USA based)
>> company, in stead of owners (and here in Australia)
>
> True. If they were contractors of an Australia-based company, would
> that be ok, or are you objecting in general to the notion of
> contractor vs. owner? I agree with you that owner is better in general
> (which again, with the private exit, you can become). But if you look
> at startup costs, owner is an expensive title.

I don't see the US v.s. Australia thing as a fundamental issue,
although it practice it might complicate stuff in case of dispute
because we would be dealing with a foreign legal system, etc.

My problem is the fact that there is a third party involved in the
whole ownership equation. If the private exit option is completely
straight forward, with no strings attached, I would probably be ok
with it. But is it? I'm all for trusting people, but how can I be 100%
sure that if I accidentally start the next Google, the (future)
shareholders of FairSoftware don't decide to play dirty? I am a bit
uncomfortable with that, but it might just be FUD.


>> * they take a percentage
>
> True. At some future point, we may be able to live off service
> provider advertising maybe, so we don't even have to charge any
> commission at all. If that's the only problem, we'll fix it.

It depends on the lock-in factor. If there is a guaranteed possibility
of a smooth private exit, that is not a show stopper; then there will
always be room for negotiation.

Sjors

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