Very early on (pre series A) this isn't so hard. Be completely transparent with your early hires about the cap table, give them a percent or two (even 3-5 for a key hire) to buffer against dilution. Do it in stock, not options, with reverse vest [this is very jurisdiction dependent]. Use the same class as founders.
People in this position can get screwed on exit of course but it's harder (and usually they are the ones you'll want retention terms for anyway).
Doesn't' work at all past the first small handful of core people.
Sound too expensive? Not early enough? Pay something close to market rates and be doing something interesting.
People in this position can get screwed on exit of course but it's harder (and usually they are the ones you'll want retention terms for anyway).
Doesn't' work at all past the first small handful of core people.
Sound too expensive? Not early enough? Pay something close to market rates and be doing something interesting.