My best friend and I paired up 3 months ago to work on a product. Since both of us had limited coding skills, we decided to outsource it to another service-based company to help us build our MVP while we would focus on customer development and team building. However, my partner had to leave midway due to personal reasons and I decided to continue bearing all the expenses and product development working alongside with the other company.
I was able to find a young developer who is very passionate, believes in the idea and is willing to work for equity. He graduated from MIT, Manipal in 2014 and has worked in another startup for nearly 1.5 years. He is expecting a compensation of 30% equity and Rs.20,000/month ($300 US, to cover for his expenses) and wants to take on the challenge of being the CTO.
Although I feel that he is inexperienced, I feel he can rise up to the challenge and have partnered up with him. Our MVP is almost ready and we will be launching our private beta in the next few weeks and I will be investing another 5 lacs into the company.What percentage of equity should I offer my partner?