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How to Divide Founder Equity: 4 Criteria to Discuss

View from Seed

You don’t really need to worry about how much common stock will be set aside for an employee option pool or how much preferred stock might be issued from raising future VC rounds in order to determine an equitable founder stock division. Ideation/IP.

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

Agile VC

You don’t really need to worry about how much common stock will be set aside for an employee option pool or how much preferred stock might be issued from raising future VC rounds in order to determine an equitable founder stock division.

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

Agile VC

You don’t really need to worry about how much common stock will be set aside for an employee option pool or how much preferred stock might be issued from raising future VC rounds in order to determine an equitable founder stock division.

Cofounder 173
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Dear elizy: How should I split equity with my co-founders?  And how will that affect raising a seed round?

Hippoland

Ada is my professor, and we are using her lab, and the company is based on her research, though the IP is assigned to the company. But, Ada wants to split the equity 50% her, 20% Bob and 20% me with a 10% option pool. Dear elizy : I started a company in school with two co-founders. Let’s call them Ada and Bob.

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Most Common Early Start-up Mistakes

Both Sides of the Table

To the best of my knowledge US law allows you to work on your own resources and in your own hours and let you personally own your IP. In some countries outside the US (the UK for example) employers can specify in an employment contract that ANY IP you develop while you’re employed by that company is owned by them.

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Term-sheets and Valuations: Thinking about Negotiations - Startups.

Tim Keane

Especially in situations where the founders have a large position and are key employees, it is not uncommon for investors to request that they agree to have some portion of their holdings vest on a schedule. Other major term-sheet provisions, in addition to these economic considerations, also focus on reducing investor risk.