Current non-equity partner here. Up for equity this year. Had a good year. Concerned that my firm will either forgo giving me a bonus or give me a lower bonus than I deserve in exchange for possibly giving me equity (which might not even result in an immediate raise). Thoughts?

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Depends on your view of the Firm but consider to play the long game and be supportive of a wretched moment for most businesses in exchange for equity if offered and future benefit (if only to enhance cv for a move). If it’s not on offer then you can scream like crazy with everyone else of course ...

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Make sure you understand what “equity” means at you firm. It varies greatly among firms and firm size. There may not be any “bonuses” as you are used to as equity, simply a profit share so if you did well and others did not you may not receive anything. Also, your benefits may now come directly from your pocket so you may actually make less in “salary” which will likely be a “draw” instead. Go in with your eyes wide open, ask to review all the financials and use an accountant to help you. If they balk at that, be very cautious. If you had a good year, control your work and leverage associates, you have leverage and don’t be afraid to walk. Good luck.

likesmart

Welcome to capitalism.

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Like the rest of 2020 - your year end is an unknown. I’m an equity partner and concerned about my year end as well - in a year my new business was up 30%.

Gotta take the good with the bad. If you’re up for equity and the long game is worth it - take it. Otherwise realize you’re likely negotiating against equity partners who may be getting hammered on their bottom line.

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