(1) How easy will it be for the startup to find your replacement? If they can they list a position on Craigslist and get a bunch of qualified candidates at $80/hr, that will likely be the compensation.
(2) What is your opportunity cost? If you can get easily get a contract developer job for $125/hr, that is what you "should" be paid.
In the example scenario, a smart startup will try to get somebody with $125/hr talent at $80/hr. The cheapest way to bridge this is by stroking your ego and offering you BS title like "CTO". WTF is a contractor CTO? They will probably not let you attend "real" executive team meetings and vote on important decisions.
My suggestion:
(1) Let them know that your time is wort $125/hr. and you'd take $50/hr in stock (and CTO title). It becomes a good deal for both of you.
(2) Work smart and work hard. Make them offer you a great compensation package to be the permanent CTO.
(2) What is your opportunity cost? If you can get easily get a contract developer job for $125/hr, that is what you "should" be paid.
In the example scenario, a smart startup will try to get somebody with $125/hr talent at $80/hr. The cheapest way to bridge this is by stroking your ego and offering you BS title like "CTO". WTF is a contractor CTO? They will probably not let you attend "real" executive team meetings and vote on important decisions.
My suggestion: (1) Let them know that your time is wort $125/hr. and you'd take $50/hr in stock (and CTO title). It becomes a good deal for both of you. (2) Work smart and work hard. Make them offer you a great compensation package to be the permanent CTO.