Say I have a brilliant idea for a startup, and need to raise $5mn from private investors. I have a BP that shows that in 5yrs investors can have a 20% return per year, after i took out my share of the company, in this case 25%. So, investors keep 75% of the company and for the 1st 5yrs have a return of 20% per year. BUT... if my projections are wrong and i deliver a greater return, i would like to have a bigger share. Lets say,i would like to have 35%, not 25%, if investors could have 30% return per year with a 65% share of the company.
Is it fair? How do I structure this?