- Original Poster
- #1
Hi everyone,
I’m new to the forum and looking for some advice on negotiating.
I am a freelance digital marketer, specialising in PPC (pay-per-click advertising). I have been approached by a marketing agency who are looking to start offering this as a service to their clients.
Their idea is to setup a new company to offer this service to clients, using their existing branding, and they are looking to me to run it. I have worked with this agency on a freelance basis for a year now, so I know them well.
The CEO suggested that I would be the MD of this new company, and that I would have shares.
I am looking for some advice on what kind of deal I should expect to get in respect of salary / stake / dividends etc.
My thoughts are that I will be doing most of the work and will be largely responsible for the success of this new venture, but on the other hand, I am expecting they will want to retain a fairly large chunk of the profits in order to provide a return to their shareholders.
Is a controlling stake realistic to ask for? I know the CEO eventually wants to sell the agency so that he can provide a return to the investors, so would I be able to negotiate a deal where I own 51% of this new company but the other director (CEO of the agency) retains a larger share of the profits?
My preference would be to get a higher stake in the company, even if it means a slightly lower basic salary, but I really have no experience of negotiating a deal of this kind. It's much more complex than applying for a job and saying what salary you'd like!
Any advice on this, what to ask for, what to expect would be greatly appreciated.
Thanks,
Rob
I’m new to the forum and looking for some advice on negotiating.
I am a freelance digital marketer, specialising in PPC (pay-per-click advertising). I have been approached by a marketing agency who are looking to start offering this as a service to their clients.
Their idea is to setup a new company to offer this service to clients, using their existing branding, and they are looking to me to run it. I have worked with this agency on a freelance basis for a year now, so I know them well.
The CEO suggested that I would be the MD of this new company, and that I would have shares.
I am looking for some advice on what kind of deal I should expect to get in respect of salary / stake / dividends etc.
My thoughts are that I will be doing most of the work and will be largely responsible for the success of this new venture, but on the other hand, I am expecting they will want to retain a fairly large chunk of the profits in order to provide a return to their shareholders.
Is a controlling stake realistic to ask for? I know the CEO eventually wants to sell the agency so that he can provide a return to the investors, so would I be able to negotiate a deal where I own 51% of this new company but the other director (CEO of the agency) retains a larger share of the profits?
My preference would be to get a higher stake in the company, even if it means a slightly lower basic salary, but I really have no experience of negotiating a deal of this kind. It's much more complex than applying for a job and saying what salary you'd like!
Any advice on this, what to ask for, what to expect would be greatly appreciated.
Thanks,
Rob
