Re:Ask HN: Pros and cons of working at a startup in 2018?
by stealthmodeclan on Monday June 11, 2018 @06:40PM
(#17289250)
If I'm making a $1M profit on you, I'll be willing to pay you up to a high fraction of this amount if I have to. Financially, even if I pay you $950K, I'm still making money.
Where does the money come for dividends, taxes, and overhead?
If there is enough supply of engineers at the same quality, no one will pay more.
Re:Ask HN: Pros and cons of working at a startup in 2018?
by dunpeal on Monday June 11, 2018 @06:54PM
(#17289333)
Obviously, I'm keeping it simple. My point is, profit per engineer does have a lot to do with how much I'm willing to pay that engineer. I'd rather pay as little as possible, but if necessary, I'll pay almost as much as I make in profit, because I'd still be making money.
If I'm making a $1M profit on you, I'll be willing to pay you up to a high fraction of this amount if I have to. Financially, even if I pay you $950K, I'm still making money. Assuming my business scales, I'd hire as many engineers like you as possible, and pay them the same. Why not? I'm making a profit for each one. Great deal for me.
Of course, if you're willing to work for $100k, I'd rather pay you that instead. Hell, I'd rather you worked for me for free!