Scott Edward Walker

SEPTEMBER 28, 2011

And please don’t tell us to hire a lawyer.) Vesting Restrictions. The first deadly mistake relates to vesting restrictions. In both cases, the company is once again in the difficult position of trying to negotiate with a departed founder. You need to make sure that any IP created by outside developers (i.e.,

Vesting 89

Vesting Software Review IP Intellectual Property 89

Andrew Payne

SEPTEMBER 9, 2017

If an early very experienced developer has 1%, and a less senior dev has 0.5%, those become two reference points for the next dev hire. For example, that 1% developer’s professional twin might get 0.25% after a year or two. Post-funding, the founder’s ownership is: Alice.

Equity 71

Equity Founder Vesting Dilution 71

venturehacks.com

SEPTEMBER 22, 2011

In practice, you raise money or hire an employee because you need to, not because you want to. Say the equity equation tells you to pay a prospective hire above market. You should still pay the hire a market rate and save the company some equity. Say the equity equation tells you to pay a prospective hire below market.

Equity 40

Equity Cap Table Valuation RSS 40

venturehacks.com

FEBRUARY 24, 2010

Breakups are hard If you’re going to fall out with your co-founder, do it early, recover the equity into the option pool to keep the company going, and recruit someone else great to fill the missing slot. Build in founder vesting (a.k.a. As it happens to be, I am looking for a lead developer.

Cofounder 101

Cofounder Founder Technical Cofounder Technical Review 101