Trending Sources

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.

First Round Funding Terms and Founder Vesting

Both Sides of the Table

The meme was kicked off by Chris Dixon with this post saying that term sheets need to be simplified and align investor / founder interests. This is part of my ongoing series “Pitching a VC“ There’s a great meme developing this morning on the need to simplify funding terms and documents.

First Round Funding Terms and Founder Vesting

Both Sides of the Table

The meme was kicked off by Chris Dixon with this post saying that term sheets need to be simplified and align investor / founder interests.

4 Deadly Legal Mistakes That Startups Make

Scott Edward Walker

Question My co-founders and I are working on a cool new site, and we’ll be ready to launch in a few weeks. Vesting Restrictions.

Standart termsheets

The Equity Kicker

We couldn’t use them as is because they don’t have enough detail on key items, like investor protections and founder vesting.

What do investors consider the most important aspect of a potential deal?

Gust

Valuation, Size of Raise, Amount of Investment, Form of Investment, Liquidation Waterfall, Option Pool, Board Composition, Anti-Dilution Rights, Protective Provisions, Founder Vesting, *original post can be found on Quora @ : [link] *. Characteristics of the Entrepreneur. Characteristics of the Venture. Characteristics of the Market.

How to Protect Your Startup Founder’s Shares

Startup Professionals Musings

These shares are allocated and committed, but not really issued and owned (vested) until later. Vesting with no cliff. Marty Zwilling.

The Co-Founder Mythology

Both Sides of the Table

I covered what I call “the co-founder mythology.&# Either you’re not technical and you think you need a technical co-founder or vice-versa. It is increasingly popular to have “founder dating&# or “startup weekend hackathons&# of some variety or the other. Hire your co-founder. Vested over 4 years.

Most Common Early Start-up Mistakes

Both Sides of the Table

These periods of time can leave a founder very vulnerable in the future. These same people will join you and your one other co-founder (maximum) 6 months later when you’ve established the company, done your Powerpoint deck, built a prototype or product and started fund raising discussions. Founder vesting. Why?

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Founder’s Stock Is Gold, If You Know The Rules

Gust

These shares are allocated and committed, but not really issued and owned (vested) until later. Vesting with no cliff.

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Finance Fridays: Getting Started – Allocating Equity and Founder’s Investment

Feld Thoughts

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.

Standard termsheets

The Equity Kicker

We couldn’t use them as is because they don’t have enough detail on key items, like investor protections and founder vesting.

After the VC Term Sheet is Signed – It’s Not Over Yet

Genuine VC

Founder vesting is the most common example. After completing a long process identifying the right venture firms to pitch, running an exhaustive fundraising process, finding a mutual fit, and successfully negotiating terms… at last, the term sheet is signed. Wrong. The problem is that time kills all deals.

Ten rules for better founding teams

High Contrast

Previously, I highlighted the legal aspects of structuring founder agreements. Therefore, a non-confrontational, positive approach is always the best way for a founding team to approach removing a co-founder. In many cases of misbehaving founders weak boards and weak investors are to blame also. Founder drag-along.

How many co-founders should you have?

StartupCFO

While I was checking out their website to learn more about his company, I noticed that Austin is one of eleven co-founders.

How to pick a co-founder

venturehacks.com

Picking a co-founder is your most important decision. One founder companies can work, against the odds (hello, Mark Zuckerberg). My 0.02

Startup School

charliecrystle.com

Founder Agreements For agreements between founders, there's not a lot of centralized info, but a lot of advice scattered about. Here are some posts that might inform your thinking about your founders agreements. Here are some links related to founder agreements. link] [link] is a new site Brad started.

Max Niederhofer On His Move To Sunstone And VC Negotiations

ArcticStartup

We caught up with him to talk more about his move, and about what entrepreneurs should know when negotiating with Venture Capitalists. For sure.

A Startup Knows It Needs a Lawyer When:

ithacaVC

Setting up a legal entity that will have multiple owners from inception (like 2 or more founders) requires good lawyer input. Lawyer time required (including vesting agreements for founders): 3 to 6 hours. Cost is the overriding issue for startups when it comes to properly engaging a lawyer.

Founder’s Stock is Simple, but Watch the Details

Startup Professionals Musings

These shares are allocated and committed, but not really issued and owned (vested) until later. Vesting starts now. Acceleration clause.

Startup CEOs: Masters of Alignment

Instigator Blog

Co-founders. A lack of co-founder alignment can kill a company before it gets off the ground. Board members. Employees. Partners.

The New Deal – A Founding CEOs Value is Non Linear

Steve Blank

As a founder I fought with VC’s over vesting as they brought in a new CEO and walked me out the door. The New Founding CEO Vesting Model.

Doing It Right the First Time: The 15 Most Common, but Avoidable, Mistakes Made by High Growth Start-ups

VC Deal Lawyer

4. Failing to properly structure founder shares - once you’ve decided who the founders are going to be, you’ll need to structure your founder shares. That founder could walk one day, keep all of their shares and piggyback on the hard work of the remaining founders. Two mistakes I see most often:

allensblog: Some Tough Questions You Should Ask

Allen's Blog

If you want to raise money from VC’s, here’s a really tough, really important question you ought to ask yourself very early in the process: “ How many co-founders should I have ?” Plus, unlike some miscalculations, here the wrong answer hurts only the founders, not the VC or later employees. He’s a founder.) allensblog. Profile.

The Equity Equation

venturehacks.com

They don’t even try to get market price for their investment; they limit their holdings to leave the founders enough stock to feel the company is still theirs.” Ask the Attorney” – Founder Vesting. We’re founders (Epinions), investors (Twitter), students (life), and advisors (billions). SUPPORTED BY. Products.

Allen's Blog: Some Tough Questions You Should Ask

Allen's Blog

If you want to raise money from VC’s, here’s a really tough, really important question you ought to ask yourself very early in the process: “ How many co-founders should I have ?” Plus, unlike some miscalculations, here the wrong answer hurts only the founders, not the VC or later employees. He’s a founder.) Allens Blog. How so?

Allen's Blog: Commandment #10: Control the Meeting (But Be Smart.

Allen's Blog

Pref shares, dilution, down-rounds, founder vesting, squeeze-outs, restructured boards, inside rounds, ways they fire management, the real uses of observers: these and much more besides you need to know, and know well. Allens Blog. Commandment #10: Control the Meeting (But Be Smart About It). It’s just not the approach of this blog.

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