The value of the equity is the value when you dispose of it. That is more likely to be zero than $1,000,000.
The the information needed to estimate its disposal value includes: the company's plans for future VC rounds, the terms of the 'A' round and prior investments, and the track record of the VC on the board. My opinion is that asking about the finances should not be an issue, since you are being asked to become a shareholder.
My concern is that 1% seems low for the primary technical person in a business which relies on code (assuming that this is) even if it is market rate.
The the information needed to estimate its disposal value includes: the company's plans for future VC rounds, the terms of the 'A' round and prior investments, and the track record of the VC on the board. My opinion is that asking about the finances should not be an issue, since you are being asked to become a shareholder.
My concern is that 1% seems low for the primary technical person in a business which relies on code (assuming that this is) even if it is market rate.
On the other hand, you might want to this from Suster: http://www.bothsidesofthetable.com/2009/11/04/is-it-time-for...