We are just moving into the realms of appointing a CEO and are unsure of what we should expect from a CEO We have never done this before and are very green in this particular area.
I know we have a good thing from the interest and the awards that we have won so far. We have boot strapped the venture ourselves until now,but know that we need funding and a leader with experience in his field to take this to the next level
We have 2 people very interested in the position already, both of whom are from the states - we are a UK based.First concern is will the time difference be an issue for us were already working our socks off,ultimately their is better access to funding in the US and we want to roll out their asap.
I have had mixed advice on how much equity to offer the CEO? -
We have been developing the product for nearly three years,and it almost ready to roll out en-mass we have been advised that between 10 -15 % is an acceptable amount at this stage? However one of the CEO's associates has indicated we should be looking at giving up 35%? Also they suggested giving away equity for time only (full time) and no cash for the shares?
Also before we talk to any contenders it's key that we know what we want and that we look at least slightly clued up,although any CEO worth his salt will be able to see where naive, however it shows effort awareness and due diligence on our part.
So we need a set of KPI's and a road map for year 1 to present to any applicants. Can anyone suggest a set? eg: Year 1 Raise funding to the tune of 500k,Form xx strategic partnerships,Secure xx in additional resource etc also I'm sure there are things we haven't considered yet?
To recap on the above
1 How much equity to give to a CEO in total and over what period?
2 On signing how much equity should we give him/her?
3 What is a good / standard set of KPI's for a CEO year 1?
4 Will the time difference USA and UK be an issue for us and them?
Really appreciate some guidance on this as there isn't much available online
Many Thanks :)