Remove Employee Remove Equity Remove Founder Vesting Remove Startup
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Rethinking Founder Vesting

K9 Ventures

One of these norms is how founder vesting and employee vesting works. I won’t get into employee vesting today as that has much more to consider than I have time to cover in this short post today. Here is a good summary post from Cooley GO on Founder Vesting. The first is fairly obvious.

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4 Deadly Legal Mistakes That Startups Make

Scott Edward Walker

The only solution in such a scenario is to negotiate a repurchase of those shares, which could be very expensive or impossible (if the departing founder wants to screw with his co-founders). This is a particular concern if the startup is in the same space as a founder’s prior employer. IP Ownership.

Vesting 89
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Dividing Founder Equity in the Very Beginning

Andrew Payne

I’ve probably had a thousand or more discussions about startup equity: figuring out how much to offer, negotiating, or advising others. One-percent of startup A may have a vastly different potential value than 1% of startup B. For example, if four co-founders agree to equal equity, they each own 25% at the very outset.

Equity 71
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The Co-Founder Mythology

Both Sides of the Table

It is increasingly popular to have “founder dating&# or “startup weekend hackathons&# of some variety or the other. Hire your co-founder. Give them a large sum of equity. Vested over 4 years. Truly treat them like a co-founder. Startups have high failure rates. That’s OK.

Cofounder 393
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The Equity Equation

venturehacks.com

Venture Hacks Good advice for startups. The Equity Equation. As this nuclear winter of venture hacks continues, I thought you might enjoy our thoughts on Paul Graham’s The Equity Equation. ” Read the rest of The Equity Equation first; it is great. You have to pay market rates regardless of the equity equation.

Equity 40
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How to pick a co-founder

venturehacks.com

Venture Hacks Good advice for startups. SUPPORTED BY Products Archives @venturehacks Books AngelList About RSS How to pick a co-founder by Naval Ravikant on November 12th, 2009 Update : Also see our 40-minute interview on this topic. Picking a co-founder is your most important decision. Build in founder vesting (a.k.a.

Cofounder 101
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A Startup Knows It Needs a Lawyer When:

ithacaVC

Cost is the overriding issue for startups when it comes to properly engaging a lawyer. 2. You need (or think you need) a stock option plan: granting stock options (and other forms of equity compensation to employees like restricted stock) should be done under a written equity incentive plan.