HF Start-up salary expectation
Currently in a discussion with a start-up Long only biased HF in US. Need your advise for salary.
He offers: $200k-250k base. No bonus but profit share agreement (% TBD) once fundraising external capital is successful (probably 2-3years ahead). During that time he did not intend to pay out a bonus. Would come in as Partner Day1.
Background fund: ~$30m start-up HF (all personal capital from CIO/founder), 10-15y+ experience, very strong pedigree. Not NYC, SF based.
My background: MF PE and 2y public SM.
Question: is this set-up of no bonus in a start-up HF normal ie you only earn the base in the first years but when external capital comes in (if) then you get x% of share?
Thanks!
i forgot: all expenses (research, opex, salary) is self funded by founder
No experience w/ start up funds, but that seems like a bad arrangement to me. That base doesn't strike me as particularly competitive, and no share of upside for multiple years seems like poor incentive alignment.
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