SqueakySushi
SqueakySushi

Salary for startup founders

Just out of curiosity, want to know how much can a founder draw as salary or probably is entitled to as actual salary from his own startup considering he's backed by some VC and the startup is at a very early stage or maybe pre revenue for example.

I am thinking that when a VC/ Angel joins as an investor, the company valuation is needed based on which equity dilution and all is calculated. I want to know that if at that stage, founder will mention his monthly salary also as a business expense at that time and charge a nominal salary like maybe 50K/ 1L per month considering that it's his sole financial source. Or is it always considered that as long as company doesn't generate revenue or doesn't turn profitable, founder isn't entitled to any salary.

Want some fist hand info who has some idea about this.. I lack some understanding in this. Please don't quote examples of big shot startups like zomato or swiggy or as those are way outta leagues and play at a diff level.

1mo ago
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