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Me and my 3 partners are in the early stages of a gaming start up company. We are now looking to split the initial equity in the company because we are not all on equal terms.
Person#1 is an experienced game designer (10+ years). He will be handling funding, market analysis and marketing. He will be working full time, not getting paid until the company can afford it.
Person#2 is a software engineer. He is finishing a 3 month contract and will be joining the team afterwards. He will not be working for those 3 months, but will be working full time afterwards.
Person#3 is a software engineer. He will be working full time on developing the first game, not getting paid until the company can afford it.
Person#4 is an artist. He will be working part time (about 20hours a week) until the company can pay him a small salary (about 2000$ a month).
We currently applied for a few grants for start ups. These are about 15k$ each, and we can get a maximum of two. The company would need around 20k to start.
We need an initial investment of about 2500$ for software licensing and about 3000$ for hardware a few months in.
Person#1 is interested in putting down 10-20k$ to start the company. Person#3 is willing to match Person#1s 10k to get an equal share in the company.
The first game would launch in 3-4months, it is a mobile game. We have a early prototype and a few elaborated projects. As this is a mobile game, revenue and growth is very hard to predict.
How do we determine how much equity each person gets? How much more would Person#1 get if he puts down 20k? How much if Person#1 and Person#3 each put 10k? Please ask for any more information, I will be happy to respond!