Author here. This is my first time hitting the front page, and I'm still catching up.
Most of the critical comments point out that this is a) not a good sign to investors and b) not a good deal financially for me. I appreciate the concern, and I think I should have done a better job at explaining the context:
- We are spinning off the product from the consulting company. We are getting new money from our existing investors, and it's them I want to show that I'm serious about this.
- I have a significantly higher equity share in the product company than in the consulting company.
I'm trading of salary for more equity. This is very common in startups, so I didn't explain this in detail in my post.
What I found interesting and potentially actionable for other people is that reducing my salary (and having more equity) has increased my focus to a point I couldn't reach when still a salaried employee.
I could have done a better job at sharpening the message, and I appreciate those that still saw my point and commented about it.