The usual ratio for top flight talent in the finance industry is 10:1. A trader makes JPMorganStanleyofAmerica $5m, they get $500k compensation. That seems reasonable because there’s a direct line between talent and profit. Even so someone had to build the business, capitalise it, create the business opportunities and relationships, train and support the trader and assume all of the risk.
How much of the business risk of the enterprise is your top flight programmer assuming? Are her decisions the only ones that make any difference to the increase in profitability as a result of her work? How direct is the line between back room engineer, no matter how good and profit?
The only case where 50% or near it makes sense is for a founder owner who is also the lead talent. Maybe. Because then they are also creating the business opportunity and assuming a big chunk of the risk.
How much of the business risk of the enterprise is your top flight programmer assuming? Are her decisions the only ones that make any difference to the increase in profitability as a result of her work? How direct is the line between back room engineer, no matter how good and profit?
The only case where 50% or near it makes sense is for a founder owner who is also the lead talent. Maybe. Because then they are also creating the business opportunity and assuming a big chunk of the risk.