Whether you’re starting a company with your best friend or a few guys you met at a coffee house, you can’t predict how the relationship among Founders will change over time. Founders Agreement can cover any number of topics, but here’s a summary of some of the most common: Vesting of Founder’s Stock. Termination. MORE >>

false As a cheatsheet, the “normal” equity structure is: Founder terms: 4 year vesting, 1 year cliff, for everyone, including you. 2.0% ) : 4 year vesting, optional cliff, full acceleration on exit. When it comes to equity terms, there are only 3 things to understand: vesting, cliffs, and acceleration. Advisor terms ( 0.5–2.0% MORE >>

Finance Friday’s gets off the ground with today’s post by introducing you to an imaginary startup, the entrepreneurs that we’ll being following throughout the series, and their first challenges: splitting up the founders’ equity and addressing the case where one of the founders provides the initial seed capital for the business. MORE >>

It’s summarized at If I Launched A Startup   and includes stuff on incorporation, founders stock, vesting, NDAs, and some other useful things. Company Creation incorporation launch nda vestingI ran across a dynamite set of posts for anyone launching a startup. If you are launching a startup, go check it out. MORE >>

Dead equity — equity held by employees and founders no longer working at the company — is a large and growing problem. Imagine how much tougher a dead-equity dilemma becomes when co-founders, who tend to hold large equity stakes, are involved. They fail to include vesting terms (i.e., By: Noam Wasserman for Inc.com. MORE >>