Startup Founders Agreements

3. Take the time to chop hard things. And then it`s time for difficult discussions! That`s if you and your co-founders have to go through all the tricky things, from justice to compensation to resignation, and find out what you want to do. If intellectual property is an essential part of your business, it`s important to protect that IP during the start-up phases. You can solve this problem by relying on patents, trademarks, copyrights and trade secrets to protect your valuable ip. Another step you can take is for all co-founders and third-party developers to assign the company their IP rights that they created and that are used by the company. This will help avoid problems when a co-founder leaves the company and wins a decisive patent. “I started a business with four founders and we didn`t define roles,” writes remote work expert Jason Lengstrof. “What happened in the end was that a person didn`t do anything that didn`t interest him, a person would start a series of tasks and do them half-finished for someone else, and one person was only able to manage the process-based work, which the fourth person (me) left to do the rest (and write the lawsuits). It fuelled resentment and made it very difficult to adapt roles in the future, because it was found that I could do anything and therefore I became the last point of responsibility, even though we had defined new roles afterwards. Our only way out was to sell the business.┬áIf you finish the job fast, you first prepare to take the next step and encourage you to invest in the agreement of your founders – you are less likely to forget it, or to prioritize other business issues. Don`t hesitate if you make one! As I said, the sooner you are able to solve these problems, the better your business will be.

However, we`ve gathered the best opinions from top startup experts to ensure that you and your partner have your goals and create a strong co-founder relationship for your business. Once you and your founding team have agreed on the size and mission of your business, take the time to define your respective roles and which team member is monitoring what. While the functions of formal roles tend to change (particularly in newly established startups), the corporate article “Build Your Management Team,” written by Steve Robbins, describes the general functions of each formal role.