When you’re a startup founder, you’re responsible for setting your own salary and what you choose sets an important precedent for the rest of the company. In 2008, VC Peter Thiel said that the best predictor of a startup’s success is low pay for the CEO.
In Silicon Valley, 75% of founders pay themselves less than $US75,000 per year and 66% pay themselves less than $US50,000 per year, according to the data. Salaries also relate to the current monthly revenue of the startups: The less revenue a startup makes per month, the less founders are paying themselves.
It also relates to the ages of founder. Founders who are 20 or younger pay themselves about $US35,000, while founders between 41 and 50 give themselves around a $US60,500 salary.
The data also showed that serial entrepreneurs pay themselves significantly more than first-timers. Founders on their first startup make about $US42,000, while founders with two previous startups behind them give themselves around $US57,000. CEO salaries rarely hit more than $US50,000 a year until there are more than 10 people on payroll.
For several interesting charts on this data, check out The Next Web.
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