Equity is one of the, if not the, most common cause for startupteams to break apart. Grunt hourly resource rate ghrr negotiated base annual salary. Dec 26, 2019 based on the dynamic equity model popularized by the book slicing pie, a formula in use by entrepreneurs all over the world. What are the pros and cons of the slicing pie method of. Using a tool to provide an objective element to the process of dividing equity is a clear positive. The slicing pie handbook outlines a framework for perfectly fair equity splits for earlystage, bootstrapped startup companies.
Jun 15, 2017 baking and slicing the pie of shares, yummy and fair. Slicing pie is used by entrepreneurs all over the world. Making lump sum payments with the slicing pie pie slicer software duration. The graduate students in electrical engineering at stanford university hosted mike moyer, author of slicing pie and inventor of the grunt fund a method for determining a perfectly fair equity. Pdf download slicing pie handbook eu edition perfectly fair. What are the pros and cons of the slicing pie method of dynamic. The handbook is a bit newer, but both books describe the same model. Perfectly fair equity splits for bootstrapped startups pdf keywords. Perfectly fair equity splits for bootstrapped startups kindle edition by moyer, mike, wasserman, noam.
This guide reveals the underlying conceptual learning of the game and gives you the key content for all accessible levels. Perfectly fair equity splits for bootstrapped startups by by mike moyer subject. Use straight lines to slice the pie exactly into 2 pieces. The books, videos and content below provide detailed instructions on making the model work for your company. The slicing pie handbook is a musthave guide for every entrepreneur who wants to attract the best people, partners and contributors to help grow their company. Allow it to self adjust over time dynamic your share % theoretical value of your contribution. Based on model popularized by the book slicing pie. This edition has been thoroughly updated and revised to reflect the realities of a maturing business incubation industry. The slicing pie book and the slicing pie handbook are comprehensive guides to implementing the slicing pie model. Entrepreneurs and earlystage company participants get taken advantage of so frequently that we hardly notice. Slicing pie handbook perfectly fair equity splits for. You can also use the slicing pie methods to retrofit the dynamic equity accounting and reconstruct a fair equity split based on the data. Read the book slicing pie handbook eu edition perfectly fair equity splits for bootstrapped eu startups on our website in pdf, epub, or mobi format, slicing pie handbook eu edition perfectly fair equity splits for bootstrapped eu startups books pdf in you can access with various devices.
Best practices in action, revised 2nd edition inbia inbia. Slice the pie properly and you will compensate the people who help you in a fair and equitable manner. Baking and slicing the pie of shares, yummy and fair. Available through amazon this book supplements course content in inbias online training programs and its a useful resource in its own right. Mar 12, 2015 in my experience, as the inventor of slicing pie, many lawyers who are used to doing traditional splits get easily confused about slicing pie because they think of it as a variable compensation program that issues shares in lieu of cash. Agreement templates cofounding helping teams build. How do you explain the slicing pie model to a lawyer. It teaches you how to provide dynamic equity splits that will motivate people to contribute their best, knowing they are earning equity at exact fair value to the effort the put in. A great book about dividing up equity in an early stage startup by mike moyer. Slicing pie grunt fund cheat sheet summary calculations the following table summarizes the theoretical value aka slices of the various ingredients for use in a grunt fund. Slicing pie find that some people need a little convincing that the dynamic model is the best. In their minds, this opens up a legal and tax can of worms. Slicing pie explains how to calculate the fair amount of equity to the right people.
Jan 04, 2016 there is no correct method for an equity split among cofounders. Slicing the pie download ebook pdf, epub, tuebl, mobi. I wrote this book, the pros are its a perfectly fair way to divide up equity during. The slicing pie model for equity allocation and recovery is the only way to ensure that each person on your team gets exactly the equity they deserveno more and no less. Below, you will find cofounder agreements templates docpdf which will help you setup. In the early days you can use equity to get the things you need to start your company including help, equipment, supplies, rent and even credit. Full version slicing pie handbook european union edition for. Who has actually implemented mike moyers slicing pie dynamic. Mar 17, 2014 the graduate students in electrical engineering at stanford university hosted mike moyer, author of slicing pie and inventor of the grunt fund a method for determining a perfectly fair equity. The entire system is made up with proven ways for regular people just like you to get started making money online.
Use straight lines to slice the pie into exactly 8 pieces. Jul 01, 20 there is a real system that is helping thousands of people, just like you, earn real money right from the comfort of their own homes. Slicing pie outlines a simple method for dividing equity in an early stage company that tells you exactly the right number of shares for each participant. If anything in this book sounds like legal advice its not.
Perfectly fair equity splits for bootstrapped startups. We need a simple model to help us properly slice the pie. Slicing pie is a short book and its easy to read, but the concept of a dynamic equity split isnt widely understood. Purchase price x 4 cash less than a year old purchase price x 2 non cash older than a year book value x 2 noncash. Based on the dynamic equity model popularized by the book slicing pie, a formula in use by entrepreneurs all over the world.
The slicing pie handbook will help you determine the right share for people who contribute the things you need to start your company including help, equipment, supplies, rent and even credit. Slicing the pie use straight lines to slice the pie into exactly 4 pieces. Use features like bookmarks, note taking and highlighting while reading the slicing pie handbook. The model makes complete sense and will really allow the founders of a company to focus on building fantastic products rather than legal conversations about equity. Based on the dynamic equity model popularized by the book slicing pie, a formula in entrepreneurs and earlystage company participants get taken advantage of so frequently that we hardly notice. Slicing pie a straightforward process for implementing a dynamic, or organic equity split in an earlystage startup that ensures the fairest equity split possible. Entrepreneurs and earlystage company participants get tak. We help entrepreneurs set up and share equity fairly. I am working with a team of 3 one who ive known a very ong time and trust very much. The book provides actionable, detailed instructions for creating an airtight business partnership in a world where unfair agreements are the rule, not the exception. Funding your company without funds you and a partner go into business together and split the equity 5050.
Slicing pie is a fantastic book if you are an entrepreneur and want to avoid many of the pitfalls of static equity. The slicing pie handbook teaches, guides and inspires entrepreneurs to boldly enter business partnerships knowing that financial gains will be fairly distributed to all participants. Some people want a 10,000foot view before diving in. School edition is designed to introduce children to the concept of fractions by solving puzzles. Another guy has just joined as a technical cofounder and my intuition says he is very trust worthy and like minded. Fairsquare llp is the uks premier slicing pie law firm. Detailed explanations and justifications can be found in the book slicing pie and the slicing pie handbook. Fairsquare llp uk slicing pie startup lawyers home. Slicing pie handbook eu edition perfectly fair equity splits. Jump to localized slicing pie cofounder agreements templates. Slicing pie handbook eu edition perfectly fair equity splits for bootstrapped eu startups books slicing pie handbook eu edition perfectly fair equity splits for bootstrapped eu startups. Perfectly fair equity splits for bootstrapped startups epub by mike moyer.
Oct, 2015 as the inventor of slicing pie, i spend a lot of my days working with startups who want to implement the model. Its eight chapters address key best practice areas, from incubator governance and facilities management to leveraging innovation and serving clients. Quantifying the aggregate and distributional effects of trade article pdf available in ssrn electronic journal january 2017 with 56 reads how we measure reads. Click download or read online button to get slicing the pie book now. Slicing pie is a universal, onesizefits all model that creates a perfectly fair equity split in an earlystage, bootstrapped startup company.
Download it once and read it on your kindle device, pc, phones or tablets. Slice the pie improperly and you will destroy your business and burn bridges with the very people who came to help. What are the pros and cons of the slicing pie method of dynamic startup equity. I believe that it is by far the most fair way to divide up equity. A read is counted each time someone views a publication summary such as the title, abstract, and list of authors, clicks on a figure, or views or downloads the fulltext. With his book slicing pie, mike moyers explains his methodology with. If anything in this book sounds like legal advice its. Slicing pie funding your business without funds by mike moyer.
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