When determining equity distribution, consider how much cash you have on hand, as cash is often scarce when starting a startup.

Most startups are not generous enough with employee equity, and you should demand fair treatment in terms of compensation.

Most startups fail, but some will succeed and create significant value, which is a natural part of the entrepreneurial landscape.

Equity represents ownership in a startup, indicating what percentage of the company a founder, employee, or investor owns, and it's crucial to understand whether you're receiving stock options or direct equity.

Many founders fail to recognize that most startups, including their competitors, are likely to struggle, and that the common outcome is that many will not succeed.

In early-stage startups, technical employees may find themselves doing the work of a co-founder while receiving only 1% or less equity, which is not a fair arrangement.

I advise being generous with co-founder equity to motivate for the long term and to protect oneself in the process. Performance-based equity is a bad idea because it's difficult to set clear goals at the beginning of a tech startup, and those goals often change as the company pivots.

When deciding on equity, start with a 50-50 split, as both co-founders are likely to contribute equally at the beginning stages of the startup.

In a startup with multiple founders, equity allocation should ideally be equal to avoid potential conflicts and ensure trust among the team.