What is a good percentage to give an investor?

There is no set percentage that is considered “good” to give an investor, as the amount of equity or ownership that an investor receives depends on a variety of factors, including the size and stage of the company, the amount of funding needed, and the bargaining power of the investor.

Generally, the percentage of equity or ownership that an investor receives is negotiated between the entrepreneur and the investor. In early-stage companies, it’s not uncommon for angel investors to receive ownership stakes of 10-20% in exchange for their investment. However, this can vary widely depending on the specific circumstances.

When negotiating with investors, it’s important for entrepreneurs to balance the amount of equity they are willing to give up with the amount of funding they need to raise to achieve their business goals. Additionally, entrepreneurs should consider the potential value that the investor can bring to the company beyond just the funding, such as strategic guidance, connections, and expertise.

Ultimately, the percentage of equity or ownership that an investor receives should be determined through a careful negotiation process that takes into account the needs and goals of both the entrepreneur and the investor.