Comp and equity, in concrete numbers
Remove ambiguity at the exact moment it matters most: give a real number, not a range, not a caveat.
a16z's executive hiring guidance recommends founders lead with exact numbers at the closing stage, not ranges.
- Exact base salary, not a range
- Exact equity percentage or share count, plus current valuation if one exists
- Vesting schedule in one line
- Ranges ('$180K-$220K')
- Caveats like 'depending on the board' at this stage of the process
- Founder gives a range instead of a number this late in the process
- Equity percentage isn't tied to a share count or valuation the candidate can sanity-check
- Presenting equity only as a percentage with no valuation context, which makes it impossible to value
- · Is every number on this slide a single figure, not a range?
- · Could the candidate calculate a rough dollar value of the equity from what's on this slide?
Base: $[X]. Equity: [Y]% ([Z] shares) at a $[valuation] valuation. Vesting: 4 years, 1-year cliff.
"Comp will be competitive, somewhere in the $180K-$220K range depending on what the board approves."
"Base: $205,000. Equity: 1.25% (125,000 shares) at a $12M valuation, worth roughly $150,000 today. Vesting: 4 years, 1-year cliff, standard."
Nimbus example: exact base, exact equity percentage with share count and valuation, and a one-line vesting schedule.
Quick quiz
1. Why should the comp slide avoid a salary range at the closing stage?
- ○ Ranges are illegal
- ✓ A range at closing signals the offer isn't actually finalized, which erodes trust
- ○ Candidates prefer higher numbers
- ○ Ranges take more space on the slide
a16z's executive hiring guidance recommends concrete numbers by the closing conversation, not ranges.
2. What makes an equity number usable to the candidate?
- ○ The percentage alone
- ✓ The percentage paired with share count and current valuation
- ○ A promise that it'll be worth a lot someday
- ○ Comparing it to a competitor's offer
Percentage plus valuation lets the candidate estimate real dollar value instead of guessing.