When you need a human resources team

Sam Altman, President at Y Combinator, the World's most successful startup accelerator, talks about when to implement a Human Resources department, what it should entail and gives examples of what the most successful Y Combinator startups do.

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1. Work out how much equity to distribute to employees each year as the company scales.

2. Work out what salary and equity compensation bands you will use, and what performance they are linked to.

3. Work out what employee vesting scheme you will use for them to earn their equity.

4. Be careful to hiring people with a diversity of backgrounds to avoid the risk of locking factors other than values into the company’s culture.


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