Negotiation floors

Ben & Daniel only. Enter the shared password.

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Ben ↔ Daniel · negotiation prep · live

How low we go

Our floors before we walk into the room. Two dials, five tiers, and the lines that aren't for sale.

REVSHARE
Split of profit after overhead. Pays cash, ongoing.
EQUITY
Stake in the company. Pays on a sale. Carries control.
01 · The floors

Per tier — open here, never go below there

Everything saves live. Whoever has it open sees the other's changes within seconds.

TierWhy the floor sits thereOpen atFloorBen / Dani
T0 · Signaturedeal signed
Their own offer. We accept it — we never go below what they already put on the table.
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T1 · Proofbenchmark published + $25k collected
We've produced measured results and first revenue. If that moves us five points, the ladder is decoration.
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T2 · Traction$10k MRR, 3 months
A real business now exists that didn't before. Below 25% we're employees with a bonus.
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T3 · Scale$40k MRR — ~$500k ARR
At half a million ARR we should be near parity. Below 38 we're minority operators of something we built.
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T4 · Maturity$100k MRR — ~$1.2M ARR
At this size control is the issue. 50% is the line — practically and psychologically.
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Format: equity / revshare.

02 · The trade rule

Moving between the dials

The exchange rate shifts as the business matures — revshare-heavy early, equity-heavy late.

StageReasoningRuleBen / Dani
T0 – T1
Cash is real. Equity in an unproven thing is nearly worthless — trade it cheaply.
Give up to 5 equity to gain 3 revshare
T2 – T3
Both are worth something now. No systematic bias either way.
1 for 1
T4
Real enterprise value exists. Ownership and control start outweighing cash flow.
Give up to 5 revshare to gain 3 equity
The hard rule

Never at the floor on both dials at once. If one goes to its floor, the other must be at or above the opening number.

03 · Not tradeable

Refused means no, whatever the numbers look like

TermBen / Dani
Exclusive licence that survives a sale, with compensation if the IP or the company is sold.
Authority to change public claims, plus written acknowledgement that pre-signature claims are theirs.
IP and entity ownership confirmed in writing before signature.
Tier triggers objective and verifiable from their own billing — no discretionary assessment.
Symmetry on the ratchet. If tiers un-vest on sustained decline, they vest on sustained growth — automatically.
04 · Walk away

No deal beats a bad deal if…

IP ownership can't be established.
The licence can't survive a sale.
T4 caps below 50%.
Open — pending Daniel's GTM

If T4 turns out to be a four-year event on his projections, the T2 and T3 floors should rise — that's where the partnership would actually be spent.

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