I'm sorry, but this is terrible advice. Unless you have considerable savings you should always take a salary.
When I was 27 I raised 1mil in an angel round. I was just out of college (I'm a vet so my college was delayed while I served) and was flat broke. I was 'advised' to take a minimal salary and proceeded to bring on 12 employees all who made most money that I.
2 years later when we ran out of money I had zero dollars in the bank (zero). I had no savings, I had no safety net. I was F'd. I spent 6 months homeless traveling with a circus to save enough money to move back to Chicago.
It is my personal advice that you take a minimum salary, rent, food, bills, and have the company pay you $500/month into a savings account that vests when you leave the company. Doing this one thing will give you some peace of mind that when this wonderful ride comes to an end that you will at least have some money in the bank to make your way again.
I am all for ramen-rich I think it is actually a good thing but I am here to tell you that if you don't take care of yourself financially you are setting yourself up for huge failure if/when the money goes away.
Personally, I would like ALL angels, VC's and incubators offer young entrepreneurs these 'bronze parachutes'. You don't have to pay them much right now but I do feel you need to make sure they, at the very least, don't crash and burn if the second round of funding doesn't come through.
When I was 27 I raised 1mil in an angel round. I was just out of college (I'm a vet so my college was delayed while I served) and was flat broke. I was 'advised' to take a minimal salary and proceeded to bring on 12 employees all who made most money that I.
2 years later when we ran out of money I had zero dollars in the bank (zero). I had no savings, I had no safety net. I was F'd. I spent 6 months homeless traveling with a circus to save enough money to move back to Chicago.
It is my personal advice that you take a minimum salary, rent, food, bills, and have the company pay you $500/month into a savings account that vests when you leave the company. Doing this one thing will give you some peace of mind that when this wonderful ride comes to an end that you will at least have some money in the bank to make your way again.
I am all for ramen-rich I think it is actually a good thing but I am here to tell you that if you don't take care of yourself financially you are setting yourself up for huge failure if/when the money goes away.
Personally, I would like ALL angels, VC's and incubators offer young entrepreneurs these 'bronze parachutes'. You don't have to pay them much right now but I do feel you need to make sure they, at the very least, don't crash and burn if the second round of funding doesn't come through.