However, in some ventures I have been involved in, equity distributions are not decided in the very beginning because you don't know enough yet. If you give equity too early, you can mess up big time in many ways. In my opinion, the best thing you can do is sit down and talk through the terms. Figure out what is going to impact the decision about how much equity you do receive, and at what point in time that is expected to happen. Lay out some terms in advance, even if the actual equity percentage is not laid out from the get-go.
The last thing to say is that contracts are only as good as the people who sign them. Trust should be the #1 factor in your decision to deal with business partners. That said, you have to protect yourself, so do what you are comfortable with and roll with the punches. If you are not getting paid and don't have a 100% promise of stock in the company, the time you are putting in right now is "volunteer" time, and that is something that only you can decide if it is worth to you. I wouldn't let the lack of set deal terms scare you off just yet, if you think this is something you could really benefit from. But of course, it's all your call!
Corey Kossack President Club E Network http://www.ClubENetwork.com