Last week at TechCrunch50, the interview with Peter Thiel was the one hour I was looking forward to the most - and it did not disappoint. I must admit, Mark Cuban was very entertaining - but Peter Thiel was the most insightful.
One quote that I think entrepreneurs and investors would find particularly interesting was focused on CEO pay:
The lower the CEO salary, the more likely it is to succeed.The CEO’s salary sets a cap for everyone else. If it is set at a high level, you end up burning a whole lot more money. It aligns his interest with the equity holders. But [beyond that], it goes to whether the mission of the company is to build something new or just collect paychecks.
In practice we have found that if you only ask one question, ask that.
When I was starting OtherInbox and trying to figure out what to pay myself, I asked around to other entrepreneurs and VC's and got the answer $150k-200k - with the median around $180k. That just didn't feel right to me. I ended up settling on a lower so I'number that was about half what I was being paid as Datran Media's CTO. Enough to cover my cost of living m not worried about paying my mortgage, but nothing extra.
Paying the bills is important, but the stock is obviously what you're working for...at least that's my opinion.
Posted by: moncler down | October 27, 2011 at 04:42 AM
*People enjoy the characters are not happy.
Posted by: Cheap Jordan Shoes | December 16, 2010 at 09:52 PM
*All this cannot be accomplished overnight.
Posted by: christian louboutin | November 10, 2010 at 11:39 PM
One understands that humen's life is very expensive, however some people need money for various issues and not every man earns big sums cash. Thence to receive fast loan or auto loan should be good solution.
Posted by: CardenasDIANNA25 | September 21, 2010 at 08:52 AM
$200k for a start-up salary is too high for sure. It makes sense to pull in that much cash once the business moves toward profitability, but your major incentive should be the stock. Paying the bills is important, but the stock is obviously what you're working for...at least that's my opinion.
Posted by: Ryan Pitylak | September 16, 2008 at 11:15 PM
How do you think CEOs should be compensated if they do a good job? Stock and large bonuses?
Posted by: Anoop | September 14, 2008 at 12:15 AM