Deciding on a Startup offer (from a friend)
I am looking for advice on how to value the monetary portion of a startup's offer.  I am a programmer in Seattle, 4 years at Microsoft after Bachelors.  I just joined a small / mid-sized company about 3 months ago that is bigger than advertised when I accepted the offer.<p>I have a friend who is in charge of product definition and programming in a start up.  It has 4 founders, 2 programmers and 2 business people.  They just got seed money so they are looking to expand their programming team by 2 programmers initially.  I like their idea and the other guys are pretty friendly and smart.<p>They gave me an offer of $80K plus 0.3% of their company with 4 year vesting.  I am well-versed at the Microsoft stack so I should be able to hit the ground running.  I am also making $110K.  Another friend gave me the equation of ($110-$80) * 4 / 0.003, which makes $40M as the breakeven point.  The valuation seems really high.  Is that a good measure of how to value my offer?  What should I consider when deciding on my counter-offer?<p>Thank you very much for your advice.