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How to Divide Founder Equity: 4 Criteria to Discuss

View from Seed

But delaying or avoiding the conversation often results in it being more awkward than it needs to be. Co-founder equity should have vesting periods (or lapsing repurchase rights) so if a co-founder departs substantially earlier than others, their stake in the business is accordingly smaller. Ideation/IP.

Equity 315
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Punch & Pie: How Should Co-Founders Divide Equity?

Agile VC

But delaying or avoiding the conversation often results in it being more awkward than it needs to be. Co-founder equity should have vesting periods (or lapsing repurchase rights) so if a co-founder departs substantially earlier than others, their stake in the business is accordingly smaller.

Cofounder 255
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Punch & Pie: How Should Co-Founders Divide Equity?

Agile VC

But delaying or avoiding the conversation often results in it being more awkward than it needs to be. Co-founder equity should have vesting periods (or lapsing repurchase rights) so if a co-founder departs substantially earlier than others, their stake in the business is accordingly smaller.

Cofounder 173
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If I Launched a Startup

The Startup Lawyer

7) Founders Equity Split: Depends on the Team, But Quickly and After the Awkward & Difficult Conversations. (8) 8) Vest Founders Shares?: 9) Vesting Schedule for Founders Shares: 4 years with a One Year Cliff. (10) 10) Consideration for Founders Shares: Cash & IP. (11) 2) State of Incorporation: Delaware. (3)

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If I Launched a Startup

The Startup Lawyer

7) Founders Equity Split: Depends on the Team, But Quickly and After the Awkward & Difficult Conversations. (8) 8) Vest Founders Shares?: 9) Vesting Schedule for Founders Shares: 4 years with a One Year Cliff. (10) 10) Consideration for Founders Shares: Cash & IP. (11) 2) State of Incorporation: Delaware. (3)

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Series Seed Financing Documents

www.seriesseed.com

You can follow this conversation by subscribing to the comment feed for this post. It would be helpful to get a California standard employee manual, employee contract/agreements, IP ownership release to company, and confidentiality. This is typically done in a founder stock purchase agreement which contains vesting.

Finance 40
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Bad Notes on Venture Capital

Both Sides of the Table

These are all real conversations. of the time I have no vested interest in having the debate. What if when you have that conversation you don’t agree? But founders these days seem strangely unfocused on finance and on terms that could hurt them even though we fought to the death about these same terms 10 years ago.