50k is pretty low--I should have used a better number. Probably more like ~200k in equity.

From a pure wealth maximization standpoint, you should never work at an early stage start-up. The company will probably fail, and your equity won't be worth squat.

A couple reasons you would consider that deal:

1. Hopefully within 18 months you raise a sizable round and get bumped up closer to market rate.

2. In a year, thanks to your hard effort, your equity is increasing in value, in sizable amounts.

I guess that makes sense. It still seems like buying an (expensive) lotto ticket. Unless the company was doing something uniquely exciting, it doesn't seem attractive to me.