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Ask HN: Potential investor wants to partner for equity

May 15, 2024 - news.ycombinator.com
A pre-seed recruitment AI tech startup is considering a partnership with a potential angel investor who has recently left his role as CEO of a major recruitment firm. The investor is interested in working with the startup for approximately 9-12 months, during which time he would use his network to promote and sell the app, as well as attract other investors.

The startup is seeking advice on how to approach this potential partnership, particularly in terms of equity and expectations. They recognize the potential benefits of the investor's credibility and connections, but are also wary of potential pitfalls and want to ensure they don't get taken advantage of.

Key takeaways:

  • A potential angel investor, who has been a CEO and director for a major recruitment firm, wants to temporarily partner with a pre-seed recruitment AI tech startup.
  • The investor plans to use his network to help the startup grow quickly for about 9-12 months, after which he would step away.
  • The startup sees the investor as a great asset in terms of credibility and connections, and he also plans to invest money and lead other angel investors.
  • The startup is seeking advice on what to consider before signing anything, how to avoid potential pitfalls, and how to negotiate equity and expectations.
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