---
title: How to hire when you can't match big tech salaries
description: Can't match big tech pay? Set salaries you can sustain, screen for motivation early, and win on equity, scope and growth. With a worked example and levers.
image: https://funded.club/hubfs/og_image_funded.png
---

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# How to hire when you can't match big tech salaries

![how-to-hire-when-you-can't-match-big-tech-salaries](https://funded.club/hs-fs/hubfs/blog-featured-images/fc-hire-without-matching-big-tech-salaries.png?width=1200&height=628&name=fc-hire-without-matching-big-tech-salaries.png)

[Ray Gibson](https://funded.club/blog/author/ray-gibson)

 Sep 30, 2026, 1:54:38 AM

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*Updated September 2026*

To hire when you can't match big tech salaries, set pay at a level you can sustain for everyone in the role, then win on the things a large company struggles to offer: real equity explained clearly, bigger scope, faster growth and direct access to the founders. Screen for candidates who want those things from the first call, because the person who would choose big tech for cash alone was never likely to join you.

Most founders treat the salary gap as a problem to solve at offer stage. By then it is usually too late. The startups that hire well on smaller budgets make the trade-off visible from the first conversation and spend their money where it moves a decision.

## Start with who you are hiring

A candidate who is mainly optimising for cash this year is a poor fit for a Seed or Series A company, whatever you offer. Even if you stretch to match, they are likely to leave when the next larger offer arrives. The people you want are weighing something else, such as ownership of a product area, a faster path to leading a team, or a stake in something they believe in.

So ask early. On the first call, share your salary range and ask what they would need the role to give them beyond pay. Candidates who light up at the scope and ask about the equity are worth your time. Those who only ask about the number can be thanked and let go before either side has invested a week of interviews.

## How a candidate scores the whole package

Here is the worked example we'll use through this page. It is illustrative, so swap in your own numbers. A senior engineer holds a big tech offer at $185,000 base with stock. You can pay $150,000 base plus options, a gap of $35,000 a year in cash.

Ask the candidate to score both offers themselves on the things they care about. The result often looks something like this.

![Illustrative bar chart of how one senior engineer might score a big tech offer against a startup offer: big tech wins on cash today, while the startup scores higher on equity upside, scope, speed of growth, flexibility and access to founders](https://funded.club/hs-fs/hubfs/(01)%20Thumbnails/n17-offer-scorecard.png?width=1200&name=n17-offer-scorecard.png)

Cash is one row out of six. The exercise also tells you where you are weakest, so you know what to fix. If "equity upside" scores low for your startup, the answer is usually a clearer explanation of the grant rather than a bigger one.

## Levers that cost you less than they are worth

A good lever is one where the value to the candidate is higher than the cost to you. Most of these cost founder time or a one-off payment rather than a permanent rise in your salary bill.

| Lever | What it costs you | Who tends to value it most |
| --- | --- | --- |
| Equity, explained properly | Some dilution and an hour of founder time | People who want upside and believe in the plan |
| Real scope and a matching title | Very little, if the role is real | Engineers and operators who want to lead sooner |
| Flexible or remote working | Some coordination effort | Parents and people living outside the big hubs |
| One-off signing bonus | Cash once, not every year | Candidates leaving unvested stock or a bonus behind |
| A salary review date in the offer | A commitment you must keep | People taking a pay cut to join |
| Learning budget and conference time | A small annual budget | Early and mid career hires |
| A fast, respectful process | Founder attention for two weeks | Almost everyone |

The salary review date is underused. Writing "we will review your salary after the next funding round or in 12 months, whichever comes first" into the offer turns a pay cut into a bet with a clear end point.

## Put the recruiting budget into the offer

Recruiting fees are part of the cost of a hire, and they are easier to change than salary. On a percentage model, the fee for our $150,000 engineer would be $30,000 to $37,500. On a fixed fee in the band up to $150,000, it is $11,500.

![Bar chart of recruiting fees on an illustrative $150,000 hire: $37,500 at 25% contingency, $30,000 at 20%, and $11,500 on Funded.club's fixed fee, a difference of $18,500 to $26,000 that could fund a signing bonus](https://funded.club/hs-fs/hubfs/(01)%20Thumbnails/n17-fee-difference.png?width=1200&name=n17-fee-difference.png)

That difference of $18,500 to $26,000 could pay a one-off signing bonus that covers part of the first year's cash gap, without raising your base salary for everyone who joins in that role later. It is the same hire budget, spent where the candidate can feel it.

## Where Funded.club fits

We are a fixed-fee recruiting partner for funded startups and fast-growing teams across North America, Europe and APAC, and we've helped 500+ startups from Seed to Series D. Our fees are agreed upfront, average 6 to 9% of salary and run from $4,900 to $21,900 per hire (see [pricing](https://funded.club/pricing)), so more of your budget can go to the person you hire.

One dedicated recruiter runs each search end to end, and part of that job is explaining your package clearly and fairly to candidates before they reach you. That filters out people who only want the top number. You'll see first screened candidates within 7 days, with an average of 33 days from kick-off to hire. For a wider view of fees, read [how much a recruiter costs for startups](https://funded.club/blog/how-much-does-a-recruiter-cost-for-startups).

## Frequently asked questions

### Can a startup hire senior engineers without paying big tech salaries?

Yes, if it hires people who value what a startup offers. Share your range early, screen for motivation beyond cash, and compete on equity, scope, growth and access to the founders.

### How should a startup explain equity to a candidate?

Walk through the number of options, the strike price, the vesting schedule and what the stake could be worth at a few example outcomes. Do it on a call with a founder, then send it in writing.

### Is a signing bonus better than a higher salary for a startup?

Often, when the gap is about the first year. A signing bonus is paid once, while a higher base carries on every year and sets the level for future hires in the same role.

### How can a startup lower the total cost of a hire?

Look at the recruiting fee as well as salary. A fixed fee agreed upfront, such as Funded.club's $11,500 for a role paying up to $150,000, costs less than a 20 to 25% percentage fee on the same salary.

Worth a brief chat about your next hire? [Book a free call](https://funded.club/contact-us).

## Hiring after a funding round?

 First candidates in 7 days. Fixed-fee, no commission.

[See pricing](https://funded.club/pricing) [Book a free call](https://funded.club/contact-us) [Try the Growth Planner](https://funded.club/growth-planner)

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```