I am in the process of joining a start-up and they are offering me equity in the company (5%). Information on Islamic Finance and business dealings is scarce on the web (aside from the general stuff) and local shayookh who are familiar in this matter are not available, so I am not sure about the permissibility of this. The company deals in the education sector and does not use interest, so if I were an outside investor purchasing shares, this would be halal. I thought I remembered coming across a fatwa awhile back that said something about how you can't receive equity in a company in exchange for labor - equity must be purchased (or you could receive it as a gift, but not in exchange for doing work).
Does anyone know anything about this, or where I can read more about this type of employment compensation?