How do I hold onto decent equity through all the stages of fundraising?

Clint Oram / November, 2017

Description

Clint Oram, Co-Founder and CTO of SugarCRM shares his advice on the mindset you must have as a startup founder when it comes to equity.

Video transcript:

How do I hold onto decent equity through all the stages of fundraising?

I’m going to look at that from a slightly different way. As the company grows, and as your role evolves over time. There was a point in time where I was an owner of the company, a founder-owner, I owned one-third of SugarCRM. Today I’m an employee of the company. 12 years later I have a different view, I am an employee of a much larger company. I have a smaller piece of a larger pie, as opposed to a large piece of a small pie, that’s turned to be from a financial perspective to be just fine. I’m very happy with what I’ve been able to accomplish from a financial perspective inside SugarCRM.

I think my key piece of advice to founders is to think about building a team around you. You will not be successful on your own. You will only be successful with a larger team of people around you, people who are experts in their different areas. This also is true with money, you need investment capital to grow. You have to take on money to grow unless you’re building a lifestyle business. If you’re building a lifestyle business, I don’t think maybe necessarily you’re watching this video, right now. You’re thinking about a different type of business. If you’re building a growth business, you need an investment capital to grow, and you need to bring on a team around you that brings skills to the table. You become part of that team, and checking your ego at the door, and being part of a team and having a smaller piece of a larger pie is a mindset that you have to have to be successful here in the Silicon Valley, in terms of building a Silicon Valley company. It’s something that I learned over time and I think it has worked out well. My bank account is happy.

Company

QUICK INFO

  • Clint Oram, SugarCRM
  • November, 2017
  • 2:05
  • Startup Basics

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