Tagged Questions
1
vote
2answers
66 views
Does equity stake truly affect voting position?
In this question, the original poster has a hidden question in:
Giving up an equity stake puts me at a disadvantage from a voting perspective (or does it?) Can you structure it as a non-voting ...
6
votes
3answers
197 views
Is a 50/50 equity split without 50/50 control a doable and wise thing?
I've found a great partner for my second tech startup, and want to structure this one better than the first, which made money but eventually got ugly due to poor choices my younger self made along the ...
1
vote
4answers
93 views
Verbal Partnership Agreement Binding?
I have a provisional patent for a product that I have been developing. I had a meeting last weekend with two individuals and we have verbally agreed to form a partnership. The partner who will be ...
2
votes
2answers
83 views
Reassessing a 50/50 partnership, help appreciated
I decided to I wanted to franchise a retail business and a colleague said they wanted to see the business plan. They loved it and believed in the work I had put in a decided they wanted to go into ...
1
vote
2answers
142 views
CEO didn't really function for a year+, steps down, but want to keep his equity minus a bit. Make sense?
We are 3 partners, working on a mobile / web startup for a year and 4 months.
The CEO didn't put this startup as his #1 priority as he's involved in some other ventures. Apart from a meeting or a ...
0
votes
0answers
64 views
Percentage allocation for my startup reasonable?
I've developed a new product that I am going to be selling and putting on the market. I had been planning on funding everything with my own personal savings. I have a friend (Mike) who believes in the ...
0
votes
1answer
166 views
What percentage to give UI/UX designer co-founder? [duplicate]
This is a general question for company shares:
My partner and I have an equal stake in our company. We want to bring in a designer since both of us suck at UI. We have one in mind.
Since we own the ...
3
votes
3answers
281 views
How to protect myself from uncommitted co-founders
Two of us came together to work on an idea for a web startup. We end up killing the initial product and a third person joined. A new product is built and launched.
It happens that I'm the technical ...
4
votes
5answers
324 views
How to handle partners asking to renegotiate old partnership agreements
In The beginning
Around one year ago we build a software company, we needed to quit our jobs, get financing, a product, legal work, accounting work, clients and partnerships with providers.
we ...
0
votes
1answer
199 views
We are bootstrapping our startup, Is this a fair compensation offer? [duplicate]
Possible Duplicate:
Forming a new software startup, how do I allocate ownership fairly?
We have a team made up of four co-founders. Our equity split is:
Co-founder #1 40%
Co-founder #2 5%
...
1
vote
3answers
163 views
If I attend a hack-a-thon event to work on a prototype, how much ownership do I give up?
I was thinking about attending a hack-a-thon event to get help creating a prototype. I am a non technical founder and was told this route may be a good option. However, I just found out that you ...
2
votes
3answers
453 views
How To Structure A Partnership
First I must say, this site is quite impressive. I found it while researching partnership agreements. That being said, I am nearing a fairly important conversation with my current partner to discuss ...
1
vote
1answer
156 views
Business proposal: good or bad?
The situation is this. I am a software developer that, in his free time, has developed a software library for a specific purpose. I use it to write custom applications that I sell or sell directly the ...
4
votes
1answer
130 views
First equity what questions should I ask and how?
Last month I was offered for an equity on a startup venture. It's an online store focus on selling customized toys. Their business models looks good and promising. But I just have few doubts and ...
0
votes
3answers
277 views
How do we split the equity when one partner simply provides the idea while the other partner builds the software [duplicate]
Possible Duplicate:
Forming a new software startup, how do I allocate ownership fairly?
A friend of mine came to me (I'm a software developer) with a software project idea that he had and ...
1
vote
3answers
256 views
Possible drama in a starting startup
I know this is TL;DR material but I'm just trying to sort this out and feel I might need an outsiders view.
I was approached to become the CTO and co-founder of a startup. The founder pitched me the ...
1
vote
2answers
424 views
I'm a part-time founder working with two full time partners. What is an appropriate equity share?
This is an update to a question I posted a few weeks ago.
Help would be GREATLY appreciated.
I'm a co-founder of a new startup with two other partners. We are just hammering out terms (equity share, ...
1
vote
1answer
86 views
How can this be an equal partnership?
I have a business.I met someone for a completely different reason, but we got along so well and we eventually started talking about starting another business (like the one I already have,but as ...
2
votes
2answers
131 views
What is the compensation for time/technical expertise other than equity in a start-up?
I am an Audiologist and have started a couple of clinics with a friend. He already owns a full-time clinic and now we have started two visiting sites of that permanent site. I have left my job and ...
4
votes
2answers
609 views
Allocating equity - equal cash investment - unequal time investment
I am getting involved in a small start up - we have been discussing (3 partners) this for a few months and now is time to get everything settled.
We originally discussed a certain time allocation 4 ...
2
votes
4answers
1k views
How to take a draw in a multi-member LLC?
My business partner and I are forming an LLC. As I understand, members of an LLC are not employees and therefore are not on payroll. Instead they pay themselves by taking a draw from the LLC funds.
...
1
vote
2answers
354 views
How to split up LLC ownership?
My friend and I are planning on forming an LLC around some services we are providing.
I am working fulltime on our services and started the initial work 6 months in advance
My partner has a fulltime ...
1
vote
2answers
125 views
Dealing with passive “partner” in directive position
I'm somewhat of in a pinch and I'd appreciate your insight on how to solve things for the best. We've been operating like a company for about 1 year, and I say "like" because we haven't really got ...
2
votes
8answers
1k views
20% equity and CTO. (Story and details). Is this fair?
This is a long exposition.
Please bear with me, I think that I need to provide as much specifics as possible, while keeping it as short as possible. Thanks for reading, any feedback is much ...
3
votes
1answer
353 views
Fair to ask for anti-dilution when I have a lot less equity than my partners?
I'm leaving an extremely well paying job, one that I'm even fairly happy with, for a startup that I think will do really well. It's been a difficult choice because I have a family and a mortgage. ...
1
vote
2answers
305 views
90 days and $XXK to get to the finish line?
This is a related question to another post I made here: Partnership agreement advice -- I have the idea & ops, he has the marketing investment and industry exp.
But here's a critical issue that I ...
1
vote
3answers
315 views
How much ownership/equity if any do I give a relative that wants to be a part of my start up?
I discussed an idea for a business with my mother and sister. They both thought it was a wonderful idea and said they would help with sales. We did not discuss compensation (probably because they both ...
1
vote
1answer
203 views
Bringing on equal partner after starting solely bootstrapped?
I came up with an idea for a startup, and after trying to start other ventures with non-paid partners I knew the only way to get this done right was to hire a developer straight up to code the ...
1
vote
3answers
490 views
Is this a fair partnership proposal?
I am the technical founder of a software product, the product is finished with good inputs from at least 6 to be customers. My to be Sales partner who is already helping me from the past 4 weeks ...
2
votes
1answer
184 views
Co-founder equity for a Beta software product
I am adding a Sales and Marketing co-founder for my start up. The product is already developed and we have 3 unpaid customers so far (Private Beta). My co-founder will work full time on this venture ...
2
votes
2answers
390 views
What is a fair equity share for four months of part-time work as an iphone app developer at an early stage startup?
I am being offered a 0.6% share in an early stage startup for being the lead iOS developer(probably the only iOS developer).The concept is good and the team consists of some smart people too.My only ...
10
votes
1answer
3k views
49/51 vs 50/50 Equity Split
What are the advantages and disadvantages of dividing equity 49/51 vs 50/50 between partners?
Edit: 51/49 feels wrong, but there may be some startup cases where it is good if you are the majority ...
6
votes
9answers
560 views
Sharing workload between partners when I am the only developer?
I have been dipping my toes into a web-based startup idea with two others.
They approached me with the original seed of an idea, but neither are developers. So I would be building the (fairly large ...
1
vote
3answers
498 views
How many companies or LLCs exist where at least one of the partners did not put up capital to receive equity in the LLC?
How many companies or LLCs exist where at least one of the partners did not put up capital to receive equity in the LLC? For example, in an online business one partner may pay all of the bills while ...
16
votes
3answers
2k views
Are we about to be shafted by a Corporate Shark?
My husband went into business with a gentleman who seemed to be very clued up (he's an accountant). He has numerous other businesses and was able to open doors that we would never have had access to ...
4
votes
4answers
396 views
STARTUP: partnership or hire?
Ok I invested in my business and built the software, now got to run it!
If I hire my friend, to do all this business, and I do all things technical.
How should I pay him?
1) salary
2) with ...
1
vote
2answers
562 views
How to split profit in a property management business inc between two owners?
My friend and I are starting a property management business (inc). How do we determine profit sharing? We charge property owner a set percentage as a fee. We are thinking 50/50 on everything losses ...
1
vote
3answers
224 views
Moving from 2 to 3 founders ? A good idea?
With a team of 2, we have been busy building a new e-commerce business for the last 4 months. Hopefully we will launch the project in the next 2 months.
We are trying a new concept sales model based ...
1
vote
2answers
103 views
Where is a good resource to learn about equity investing?
My partner and I currently run a website and we both have a 50 percent stake. Some investors want to come on board and also want to help us promote it. In return they would get a smaller equity ...
