Want to Post That Job Opening on AngelList? Get Ready to Fork Over Cash or Equity
If you use the startup network AngelList to list jobs and find employees, you should probably know you're about to start paying for it.
TechCrunch reported today that AngelList will now ask for 10 percent of the listed salary or 0.25 percent of company equity. Companies will be allowed to choose between those options.
Whether a startup would be willing to give up equity for something as risky as a hire--especially one whose candidates need to be found through a job board--remains to be seen. Even 0.25 percent can add up fast, especially for a startup moving quickly in the people department.
AngelList will refund the charge if an employee doesn't last 90 days, and will only charge for successful hires. It will only charge for new listings, meaning anything you already posted will be grandfathered as a free listing.
The process is currently considered an experiment by AngelList leadership--and a potentially successful one, at that.
“It’s cheaper than anyone else out there, cash or equity (company’s choice) on hire only and only for new listings (95% of companies / activity are still free),” AngelList CEO Naval Ravikant told the outlet.
Apparently, the company isn't making a "big announcement" because the new strategy could change.
AngelList says it has helped fill more than 3,000 jobs through free listings.