---
title: "Startup"
source: https://www.jemoka.com/posts/kbhstartup/
---

Smol companies
Tips A well-run startup should have 18 month of cash planned, and have a runway of 6 months to ensure you can always get acq-hired and &ldquo;bail out&rdquo; Myths of Startups &ldquo;Joining Big Tech&rdquo; vs. &ldquo;Starting a Startup&rdquo; are not binary options In between these poles: joining an existing startup Myth: &ldquo;90% of startups of fail&rdquo; True statement: 90% of SMALL BUSINESSES fail. Venture backed tech startups are very different world: only 1% of small businesses are venture backed.
Roughly: 1/3 of VC backed startups &ldquo;fail&rdquo;
1/3 fail 1/2 return the money (nothing happens) 1/6 exits + drive returns Myth (kinda): &ldquo;you are under paid&rdquo; If you JOIN a startup, the small amount of compensation corresponds to betting on yourself in a similar way.
If you are negotiating your compensation, you should try to get MORE EQUITY and less cash.
Anatomy of a Startup &ldquo;Fail&rdquo; Most startup failures looks like an acqui-hire. Acq-hiring results in investors
Investors loose money Employees get a minor payoff
