Tomasz Tunguz Blog · 2013-10-29
· 4601d
Founder/CEO Compensation Shift: Trading Salary for Equity in Post-Series A Startups
Post-Series A founding CEOs are trading cash compensation for larger equity stakes, with salaries declining 24% while founder equity increases 32%. This trend reduces company burn rates and founder dilution while signaling a favorable entrepreneurial environment where founders command higher valuations.
Metrics in this report
Compensation Survey Sample Size
800startups
approximate total
Cross-portfolio benchmarking study
Founder Equity Increase
+32%
year-over-year
Post-Series A companies
Founding CEO Salary Change
-24%
year-over-year
Post-Series A companies
Participating VC Firms
50+firms
approximate
Compensation survey participants