Founders’ Agreements: Key Clauses and Why They Are Essential for Your Startup
Introduction The excitement of launching a startup often overshadows the crucial need for formal agreements between founders. Yet, the absence […]
Introduction The excitement of launching a startup often overshadows the crucial need for formal agreements between founders. Yet, the absence […]
Equity splits are critical for startup success, impacting founder relationships, governance, and growth. A fair distribution reflects contributions, roles, and sacrifices, fostering alignment and trust. This article explores key factors like financial input, time commitment, and intellectual property, while emphasizing the importance of vesting schedules and legal agreements. It offers strategies to avoid disputes and provides practical frameworks, such as the Slicing Pie model, for determining equitable splits. With real-world examples and actionable advice, founders can navigate this sensitive process effectively, ensuring long-term success for their startup.