#158: $33M Growth Equity After Friends/Family Funding to $10M ARR - Alan Miegel

#158: $33M Growth Equity After Friends/Family Funding to $10M ARR - Alan Miegel

Author: Greg Head August 22, 2025 Duration: 1:11:51

Alan Miegel is co-founder and CEO of BetterComp, a modern compensation management platform for larger companies to manage compensation datasets to set market-priced salary benchmarks. Alan and his cofounders started the company in 2019 with founder funding, then raised angel funding as convertible debt from his friends in the tech industry.

They shipped their first "minimum sellable product" in 2020 and grew revenues steadily, doubling every year from $1M in 2022 to almost $10M in revenue in 2025. BetterComp now has over 80 employees and 200 customers.

In July of 2025, BetterComp raised a combined $33 million in growth equity funding from Ten Coves Capital and venture debt from Silicon Valley Bank. Alan and his cofounders still own a majority of the company. Now they have more resources and support to build on what has worked so far, enabling them to grow even faster and become a market leader.

Quote from Alan Miegel, cofounder and CEO of BetterComp

"Early on I didn't pay myself anything. Then I paid myself enough just enough to max out my 401k contribution, with no taxable income. I made a promise to my founders, my co-founders that I was going to pay them before I paid myself. 

"I always paid my co-founders more than I made. That's still the case now. As the CEO, you think of it like you are the last one to get paid in this equation. You're not doing this to make money now, you're doing this to make money down the line. 

"And you ask a lot of other people to make sacrifices, you ask them to make less than what they're used to making, so you have to put them first. Because if they see you putting yourself first, they're not gonna think they're the most important thing in the business, which they are.."

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Greg Head hosts the Practical Founders Podcast, a series dedicated to the often-overlooked builders in the technology and business landscape. Each week, the conversation focuses squarely on founders who have successfully scaled their software companies through means other than massive venture capital. You'll hear detailed, candid stories about bootstrapping, profitable growth, and the strategic choices that define a sustainable enterprise. These interviews dig into the real work of building a valuable company-the early decisions, the pivotal mistakes, the practical systems, and the personal resilience required. It’s for entrepreneurs and operators who are more interested in durable ownership and practical execution than in hype or fundraising rounds. By focusing on firsthand experiences, this podcast provides a grounded perspective on entrepreneurship. Listeners gain actionable insights and honest reflections from leaders who have navigated the complexities of building a business on their own terms. The discussions are in-depth and specific, offering a valuable resource for anyone looking to understand the tangible realities of creating a technology company without relying on external funding. This is where the conversation moves beyond theory into the applied lessons of proven founders.
Author: Language: English Episodes: 100

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