

Ask HN: Guide to distributing equity for open companies (a la Assembly) - reedlaw

I like the idea behind Assembly[1]. Anyone can contribute and get paid in proportion to their work on open source software projects. I want to apply this model to a traditional business. There may be hourly and full time employees. They could choose to take hourly pay or equity in exchange for their labor. Everything would go into an accounting journal and would be transparent.<p>Assembly doesn&#x27;t go into much detail on how this works[2]. I&#x27;m looking for advice or a guide on how to distribute equity. The usual advice is to split equity evenly between founders who work full-time (with some period of vesting). I want a more fine-grained method. Say, if you work 20 hours in one week you can get X amount or X shares in the company. Those who choose shares will get dividends at the end of each month. Should there be a fixed amount of shares at the beginning? Should employees get a fixed amount of shares per hour? I have a lot of questions but I&#x27;m not sure where to begin because this is such a different approach.<p>1. https:&#x2F;&#x2F;assembly.com&#x2F;<p>2. https:&#x2F;&#x2F;assembly.com&#x2F;help&#x2F;revenue
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reedlaw
For anyone looking for an answer, I found a good guide:
[http://slicingpie.com/](http://slicingpie.com/)

The author has a couple of books on the subject as well as videos and
slideshows. It works for any type of business. It's a pretty comprehensive and
fair system which I'll continue to explore.

