The single most important document for co-founders — it prevents the disputes that kill startups. Generate a free draft, then get it professionally vetted.
A Founders’ Agreement sets the ground rules between co-founders — who owns how much, who does what, how decisions are made, and crucially, what happens if a founder leaves. It’s the document that prevents the equity and control disputes that derail so many early startups.
The most important element is vesting — typically over 4 years with a 1-year cliff — so a co-founder who exits early doesn’t walk away with a large chunk of equity for little contribution.
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Yes — a Founders’ Agreement prevents the most common startup-killer: disputes over equity, roles and what happens when a founder leaves. Handshake deals fall apart under pressure.
Vesting means founders earn their equity over time (commonly 4 years with a 1-year cliff). It protects the company if a co-founder leaves early — they don’t keep unearned equity.
It’s a template draft for reference. To be robust and enforceable for your situation, it should be reviewed and finalised by a qualified professional — which we can do.
As early as possible — ideally before or right after incorporation, while everyone is aligned and before real value (or disputes) build up.
Our team drafts and vets founder & startup agreements tailored to your situation.
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