Ask How do you handle a client who proposes paying you in company equity instead of cash?

I have seen many new businesses offer to give freelancers a small part of their company instead of paying them with real money. This means you only get paid if the business becomes successful and makes a lot of profit in the future. While this sounds like a great way to own a piece of a business, it is also very risky because many small companies fail within their first year. If a client offered you shares instead of cash, how would you decide if it is a good deal?
 

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