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I can see only positives. You don't pay when there is no revenue. You fire him when revenue gets really good. He gets cash faster than with equity, potentially no need to beg for salary raises in future.



That sounds incredibly scummy.. Either way I don't think anyone sane enough would sign an agreement like this.


So you're saying for revenue share, you can terminate it if he is no longer involved?


One of the main point of revenue sharing is turning it into passive income - for the rest of your life. So no one will ever sign the terms which binds this to employment termination.




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