So let's say you start a business. Get a loan, spend a few years growing it into something profitable and then you decide to hire an employee. Let's imagine that this employee produces $100/hr for the business and of that $60 goes to overhead (materials cost, utilities, rent, etc). Of that remaining $40 how much should the employee get and how much should the owner get to be considered fair?
So let's say you start a business. Get a loan, spend a few years growing it into something profitable and then you decide to hire an employee.
Let's imagine that this employee produces $100/hr for the business and of that $60 goes to overhead (materials cost, utilities, rent, etc). Of that remaining $40 how much should the employee get and how much should the owner get to be considered fair?