My friend told me about an idea she had for some healthcare software. I told her it’s a great idea and that she should get it built. She didn’t do anything with it for a month or two so I said I thought it was a great idea and wanted to get involved. I first said that I wanted to project manage for 10% equity. I find myself doing more than simply project managing and I’ve found a CTO who will take equity and cash. I asked if I could be a cofounder and my friend said fine to that. It seems like the idea is hers but that’s where her contribution stops. The rest of the work is mine and the CTOs. I feel like I want more equity to be more invested and maybe I deserve it. How much equity is fair for me to have?
You should ask for at least enough equity that you feel compensates you adequately for the time you are putting into the project, such that you don’t either move on to something else because you’re getting underpaid or feel resentful down the line because you were underpaid relative to your time investment.
One of the things that lawyers and others in professional services have to learn quickly is that you’re not betraying a personal relationship by asking to be adequately compensated when it leads to work for you. It’s the same here - you’re selling your services to her, she’s buying your time and taking you away from other lucrative opportunities, and you should ask for the market rate for your services. You aren’t doing her a favor here - she’s buying you at your market rate, as converted into the estimated value of the shares.