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Comment by dfnord

Yes, I took that into consideration. The explicit equation, all from PG's article is:

i = 1 / (1 - n) + sp

where:

i: the amount I'll increase the company's worth divided by the profit multiplier (which is 1 + profit(%)/ 100, eg: 1.5 for a 50% profit)

n: equity received

sp: salary price. Which is anual salary * overhead (pg suggest 1.5) / company's valuation

In short, my values are:

n = 1%

i = 1.023 (2,3% which with a profit of 900% means they'd expect me to increase the company's value by 23%)

sp = a bit above market's salary (can't say much more, sorry)

parent dfnord 16 years ago

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