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Better question here - who are you to judge this? A prospective employee is by no means forced to accept employment with a start-up where they're receiving a smaller share of equity than the founders. There is no grounds for any sort of argument of what is "fair" when you are on the receiving end of a job offer. If it's not fair, don't sign on. If you don't like the terms of the deal, renegotiate or find another one. The founders / current employees can offer whatever they would like - you have the ability to decide whether or not you want to accept those terms.



Problem with this thinking is that it assumes the employee knows what's fair and isn't being lied to by the startup.

That's really not the case.




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