How to Create an Employee Stock Option Pool (ESOP) That Works for Your Startup

Employee Stock Option Pools (ESOPs) are a crucial component in startup equity structures. ESOPs help attract, retain, and motivate employees by granting them a stake in the company. However, setting up an ESOP can be complex. In this guide, we cover the essentials of creating an ESOP that aligns with

Navigating Dilution: How to Protect Founder and Employee Equity Over Time

As a startup raises new funding rounds, founder and employee shares can be diluted, impacting ownership percentages and the value of each stake. While dilution is a natural part of growth, it’s crucial for founders to understand how it affects everyone with equity. In this post, we’ll explain

How to Design a Fair Vesting Schedule for Founders and Employee

Equity vesting schedules are an essential part of aligning interests among founders, employees, and investors. A fair vesting schedule can retain talent, prevent issues with ownership, and build a strong foundation of trust. In this post, we’ll dive into what makes a vesting schedule fair, covering common structures, considerations,

The Role of Equity Management Platforms in Scaling Your Startup

As a startup grows, equity management quickly becomes complex. For founders, an equity management platform can streamline administrative tasks, simplify cap table updates, and enhance transparency for investors and employees. This guide explores the benefits of these platforms and why they’re invaluable for scaling startups. Why an Equity Management

Balancing Founder Equity with Early Hire Equity & Getting It Right

One of the earliest, most crucial decisions founders face is how to allocate equity between themselves and early hires. Founders need significant ownership to maintain control and motivation, while early team members are often drawn to startups precisely because they want a meaningful stake in the business. But finding the

Convertible Notes vs. SAFEs: Choosing the Best Option for Your Startup

For startups seeking early-stage financing, two popular options are convertible notes and SAFEs (Simple Agreements for Future Equity). Both offer a way to bring in funds before setting an official company valuation, giving startups the cash they need to grow. But while they serve a similar purpose, convertible notes and

Equity Compensation in Startups: How Much Should You Offer and When?

Equity compensation is a powerful tool for startups to attract and retain talent, especially when cash is tight. But how do you know how much equity to offer and when? The answer can vary depending on your company’s stage, industry, and growth trajectory. This guide explores key considerations for

Navigating Equity Splits During Mergers and Acquisitions

When your startup heads into a merger or acquisition, it’s a thrilling time, but it’s also fraught with complexities, especially around equity. How do you protect your team’s hard-earned shares, ensure fair payouts, and avoid common pitfalls? Equity splits during M&As are delicate and can dramatically

How to Offer Equity to Remote Teams Without the Headaches

Remote work is here to stay, and for startups, that means you’re likely managing a globally distributed team. Offering equity to remote employees can be tricky—how do you navigate the legal, tax, and logistical challenges when your team is scattered across countries? Equity compensation for remote teams is

How to Use Equity as a Magnet for Talent Retention

Talent retention is a challenge every startup faces, especially when competing with big salaries. Offering equity can be a powerful way to tie your employees to your company's future success. However, the specific tools you use, whether stock options, RSUs (Restricted Stock Units), or other forms of equity depending on

Why Dynamic Equity Allocation Is the Future of Fair Splits

When you first launch your startup, the equity split between co-founders often feels fair. Fast forward a couple of years, and you may find that the original allocations no longer reflect actual contributions. This is where dynamic equity allocation can save the day (and sometimes even your cofounding relationship), ensuring

Meet Emma!

Emma Suominen joins the WE.VESTR family as our Customer Success lead. Let’s learn a little more about Emma! 👋 Hi Emma! Tell us a little about you! Hi!I’m Emma, I’m originally from Finland. I’ve also lived in the UK where I studied accounting and finance

Exploring Alternative Funding Sources for Your Startup

When it comes to funding your startup, venture capital might seem like the only go-to option, but it's not the only game in town. In fact, there's a range of alternative funding sources available for startups, each with its own advantages and considerations. In this guide, we'll explore some other

Exploring the Differences Between Warrants and Stock Options

As your startup grows, you may encounter the need to issue both warrants and stock options. But what exactly are warrants, and how do they differ from stock options? Let’s delve in and help boost your understanding. Understanding Warrants: A warrant is an agreement granting one party the right

Startup Spotlight: SongDrop

This week we talk to Gabriel Majorsky, founder of SongDrop, a digital music distribution service built by creators, for creators and discuss how the music industry is ready for a digitally enhanced renaissance in how we engage with and enjoy our most loved artists. Gabriel, what brought you into this

How to Create Your First Cap Table

Starting a startup involves many financial concerns. One crucial one is creating your first cap table. A cap table is foundational. It lays out your company's ownership structure and serves as a roadmap for all future equity decisions. In this step-by-step guide, we'll walk you through the process of creating

Crafting an Effective Shareholder Report: A Comprehensive Guide

As a founder and company leader, you must keep your shareholders informed and engaged. This is crucial for maintaining trust and transparency. One powerful tool in achieving this is a shareholder report. In this guide, we'll walk you through the key components and format necessary to create an effective shareholder

Partner Spotlight: FundsUp

This week we talk to Pieter Bas, Head of Startups, Community & Events at FundsUp, a community platform that brings together investors with early-stage founders, about what it takes to create the best opportunities for serendipity to happen between investors and founders. How did FundsUp come about? FundsUp emerged from a

Startup Spotlight: Lucy Howie

This month, we dive into the journey of Lucy Howie, the Co-Founder and Chief Product Officer of Quan, a pioneering platform for employee well-being. Lucy shares how her experiences navigating startups, consulting, and leadership at big tech led to Quan. She also shares how they launched Quan, her experiences at

Partner Spotlight: Startupbootcamp AfriTech

This month we spotlight Startupbootcamp AfriTech and hear from their CEO Philip Kiracofe, about how the African startup scene has evolved over the past 10 years and what he believes could lie in the future of this emerging regional powerhouse. Looking back, what brought you into the African startup ecosystem?

Startup Spotlight: Susan Falola

The Experimental Entrepreneur: How Curiosity Fuels Innovation and Growth at JUUBIX Susan Falola is one of the Top 100 Global Women of the Future 2024, Global Frontrunner in Fintech, Founder and CEO of JUUBIX, a financial and collaborative marketplace that matches talent, companies, and investors. The JUUBIX platform provides ‘Stakeholders

3 Common Mistakes Founders Make During Fundraising

Jeff Erickson, Director of Strategic Partnerships at Forecastr Preparing for fundraising can be a pivotal moment for startup founders, but it's also fraught with potential pitfalls. Here are three common mistakes founders make and how to avoid them. Not Knowing Your Numbers One of the cardinal sins of fundraising is

3 Fundraising Insights from a Founder

Floris van Hoogenhuzye, Co-Founder and CEO of WE.VESTR Like many founders before me I’ve learned many (and often hard!) lessons about getting ready for fundraising. In this article I’m going to share the three that have been of recurring importance and benefit to me and that I

Startup Spotlight: Daniel Faloppa

In our latest chat, we're thrilled to feature Daniel Faloppa, Founder & CEO of Equidam, the platform revolutionizing how startups approach valuation. Daniel has led Equidam to become a beacon for entrepreneurs worldwide, offering a sleek, data-driven solution to navigate the complex waters of business valuation and investment. Equidam's mission is

Share Dilution: Impact on Present and Future Stakeholders

In the world of startup growth and investment, the issuance of shares plays a pivotal role. Whether as a strategy to incentivise employees or to attract future investors, the allocation of shares can have considerable influence over both current and potential shareholders. In this week’s article we’ll explore