Assume Everyone Will Leave in Year One

Startup Therapy

In this episode of the Startup Therapy Podcast, Ryan and Will discuss the challenges of managing early-stage startup teams, particularly the high likelihood of turnover and the risks of handing out equity prematurely. They talk about the emotional toll of losing key team members and offer practical advice on creating vesting schedules and setting realistic expectations to safeguard against these common pitfalls. The conversation also touches on the dynamics of initial hires, the importance of flexibility, and the need to balance passion with practical considerations in team building.

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Startup Therapy Podcast
https://www.startups.com/community/startup-therapy
Website
https://www.startups.com/begin
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Wil Schroter
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Ryan Rutan
https://www.linkedin.com/in/ryan-rutan/

What to listen for
00:00 Introduction to Startup Challenges
00:09 The Reality of Early Startup Teams
01:25 Startup Weekend Insights
02:38 The First Love Analogy
03:44 The Commitment Dilemma
04:24 Life Happens: Unplanned Disruptions
12:02 The Fragility of Equity-Based Compensation
13:45 Long-Term Team Dynamics
15:32 Understanding the Nature of Turnover
17:44 The Emotional Impact of Employee Departure
18:52 The Reality of Passion and Commitment
27:20 Equity Distribution and Vesting Schedules
31:50 Preparing for Inevitable Change