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Tekton Growth
Internal draft

Quarterly company milestone bonus plan

Grow the company. Share the upside.

A simple structure for owner-style thinking: grow collected revenue, protect the company, then share real after-tax profit.

Churn goal<4%
Current revenue$35.5k
New client floor$2k
Start gate$28.6k
PayoutQTR
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Tekton Growth
01 / Purpose

Why I wanted to build this

If we build a high-profit company, I want the team to feel it.

Share the upside

As Tekton grows, I would rather build a structure where the people helping create the profit participate in it.

Treat people right

The goal is not just to pay base salaries. The goal is to create a real reason to care about company health.

Stay responsible

We still protect cash, taxes, reserves, and delivery first so upside does not turn into a fragile promise.

The simple idea: if this becomes a very profitable company, I would rather share more of the real after-tax profit with the team than let upside pile up without a plan.

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Tekton Growth
02 / Promise

The simple promise

If the company grows, keeps clients, protects cash, creates after-tax profit, and you hit your scorecard, you share in the upside.

Growth

Collected recurring revenue moves the plan forward, but after-tax profit funds it.

Retention

New sales do not matter if clients are falling out the back.

Scorecards

Company upside still requires personal accountability.

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Tekton Growth
03 / Gates

The three gates

The bonus pool grows as Tekton gets safer.

Gate 1
10%

Cleanup mode.

  • 30-day reserve funded
  • After-tax profit over $5k
  • Small but real upside

Gate 2
15%

Reserve build.

  • After-tax profit over $10k
  • Build 90-day reserve
  • Stronger pool

Gate 3
20%

Full operating mode.

  • After-tax profit over $15k
  • Reserve funded
  • Company cleanup accelerates
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Tekton Growth
04 / Pool Examples

What growth could feel like

Base pay stays steady. Quarterly upside grows.

Q1

Example if 3 people qualify:

  • Base pay continues
  • Quarterly bonus: about $1.2k each
  • Company still protects reserves

Q2

Example if 3 people qualify:

  • Base pay continues
  • Quarterly bonus: about $3.2k each
  • Stronger growth, stronger upside

Q4

Example if 3 people qualify:

  • Base pay continues
  • Quarterly bonus: about $6.2k each
  • Reserve is funded; cleanup accelerates

Projection assumes 3 retained $2k clients added per month, sub-4% quarterly churn, 30% added fulfillment cost, taxes accounted for, and 3 qualifying bonus participants. These are planning examples, not guarantees.

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Tekton Growth
05 / Why Gates Change

Why the pool changes by gate

The healthier the company gets, the more upside can go to the team.

Early phase

Protect the company, clean up obligations, and avoid fragile promises.

Middle phase

Build a real 90-day operating reserve so one bad month does not put pressure on payroll or delivery.

Mature phase

When the 90-day reserve is funded, the savings allocation redirects to company cleanup and the team pool can keep growing.

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Tekton Growth
06 / Unlock

How a quarterly bonus unlocks

No spike counts until it proves itself.

Build the first 30-day reservePhase 1 does not start until the business has one month of operating expenses protected.
Hit a collected MRR milestoneRecurring revenue that is actually paid and current.
Hold it for 90 daysNet MRR stays at or above the milestone for the quarter.
Pass company gatesRetention, delivery, taxes, collections, after-tax profit, and cash floor stay healthy.
Pass role KPIsEach person qualifies through their own scorecard.
Pay after verificationNumbers reviewed, then paid through payroll or approved contractor invoice.
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Tekton Growth
07 / Split

How the bonus is split

Simple enough that everyone can understand it.

Equal split among qualifying employees. No internal competition for someone else’s share.

KPI gate

If someone misses their role KPIs, they do not receive that quarter’s bonus. Their unpaid share stays with the company and is not redistributed.

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Tekton Growth
08 / Visibility

Owner-style visibility

You get a real voice in the tradeoffs.

The team sees

  • Milestone progress
  • Current financial gate
  • Bonus pool tracking
  • How expenses affect after-tax profit and reserves

The team weighs in on

  • New hires
  • Software and tools
  • Fulfillment support
  • Systems that improve capacity and retention

Important: everyone gets visibility and a voice. Nick keeps final decision authority and is responsible for protecting the company.

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Tekton Growth
09 / Tradeoffs

How expenses affect the pool

A good expense can reduce bonuses for a little while.

Example

If Tekton adds a $5k/month team member, operating cost rises and the 90-day reserve target increases by $15k.

Why it may still be right

If that hire protects retention, reduces stress, and helps us grow from 60 to 80 clients, it can create more upside later.

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Tekton Growth
10 / Close

What this means

The plan gets stronger as Tekton gets stronger.

Grow

Bring in the right clients at the right price.

Retain

Keep delivery quality high and protect accounts.

Own

Understand the business tradeoffs behind every dollar.

Draft only. Final policy language should be reviewed by CPA, payroll, and legal before this becomes formal.