Capital Returns Are Tied To Your Supporters

The logic behind allocating capital returns and labor returns has never been the same.

Capital returns are essentially distributed based on who backs you.

You claim you’ve earned something—that’s only going to land you equity if it’s huge enough to shift the company’s trajectory. Otherwise, it’ll show up as a bonus. In a company, equity splits reflect who holds the real power: the market, the product, and the team. These three forces each represent a critical necessity. At the boardroom table, it all comes down to eight words: who you represent is who supports you.

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