Questions regarding units of ownership in a corporation, mutual fund, or other organization.
0
votes
0answers
10 views
How should I reward volunteers in a UK Limited Company?
I'm setting up a UK limited company to run a large music ensemble, and people will pay a subscription to take part, but I won't be able to afford to pay most positions (managing concerts, publicity, ...
2
votes
2answers
87 views
New shareholder class for special dividend?
This is more so theory than plans, and this is the only stack exchange that talks about corporate structure
Is it possible to make a new shareholder class, arbitrarily, solely for the distribution of ...
0
votes
0answers
22 views
Where can I get a template legal document confirming my share in a startup? [closed]
I agreed to do some minor work to a newborn startup for percentage of shares, not cash as they do not have it (yet). Where can I get a template of legal document (for the UK) which says that I do the ...
1
vote
0answers
37 views
How does reverse-vesting work?
How does reverse-vesting work? I understand the company has the right to "buy back" shares if the employee leaves early, but how exactly does that work? What price do they pay per share?
3
votes
2answers
406 views
Gross profit royalties vs non-voting equity
I began work with a small startup last year, working as a consultant. Consulting didn't last long because I saw great potential in the company and made it clear I wanted to be a part of it.
I ended ...
1
vote
1answer
66 views
equity max of 23% split among “development” — a ripoff?
I've been working on a project with three other people: one is a developer, one is a manager type, and one is a sales type. I'm a developer. The two developers were invited into the project by the ...
2
votes
1answer
84 views
Equity in a business driven by software?
I am completely new to negotiating equity, and I don't know where I stand with regards to pushing back on potential offers of equity based on a new project.
If anybody could give me their view on my ...
4
votes
2answers
77 views
Payment methods and conditions for fresh startup
I am an Interface designer and a startup asked me to work with them. As of now they are only two people and do not have a budget, so they would offer a share in the company.
I would be fine in ...
0
votes
0answers
32 views
Setting a stock vesting schedule retroactively
So here's the the quick summary:
Three co-founders with shares equally divided. Started working on it about a year ago, got incorporated about 4 months ago. Now one of the co-founders wants to leave.
...
1
vote
1answer
53 views
Issues around accepting salary plus stock options in job offer
I've been offered a job within a new SaaS startup. I'd be the first technical hire. They've offered to match my current salary and give me 2.5% stock options. Or I take a couple of £K extra with no ...
0
votes
1answer
74 views
Equity split 50/50 and past contributions
I've checked other questions but none cover the topic of past contributions. I'm wondering how much weight does time spent before incorporating matter.
Do Founder A earlier contributions have enough ...
5
votes
5answers
329 views
Partner leaving at an idea-stage start up
This question might sound dumb, but I'm at a complete loss of what to do.
My friend and I discussed starting a web site business years ago. For about a year and a half, we met every other weekend ...
0
votes
1answer
73 views
Setting up an Investment Company [closed]
I am looking to buy shares in a company whose shares are quite costly. (We're in the UK.)
To keep things simple, let's say I'm looking to buy 1 share at a cost of £50,000.
(These aren't the actual ...
0
votes
0answers
43 views
Angel or VC wants to invest, what are main arguments to negotiate shares vs investment?
what are main arguments to negotiate shares vs investment?
I want to be prepared when the time comes and I don't want to figure out in the moment about the negotiation about shares split and how much ...
0
votes
0answers
37 views
Where to find enthusiasts to collaborate on startup development? [closed]
We're the team of 4 guys from Europe. Recently launched a startup and are on the way of development, but want to improve the speed of building up a successful startup. Hence, we're looking for ...
3
votes
2answers
78 views
Legal Status of USA/UK Start up forming
I and a partner wish to set up a company. One of us lives in the UK and the other in the USA. We both want to make sure we are one legal entity so we can sell shares, or if the start-up was bought ...
2
votes
1answer
76 views
Share ownership in software spinoff
I have been employed at a research consulting company for several years. During the course of running research projects, I have developed software that I use internally to run some of my projects. ...
0
votes
1answer
47 views
reasons for a publicly trades company to go private? [closed]
I am reading the news that Dell will attempt to go private in a multi-billion share buyout, and it states that:
[Michael Dell] will attempt a revival of his struggling computer
company without ...
0
votes
2answers
44 views
Cofounders allocation of shares upon death
We are two cofounders with unequal shares in our startup (70/30). If something happened to one of us (death), how are the shares handled in a will?
Does the surviving cofounder have to pay current ...
1
vote
3answers
75 views
Issuing shares to advisor and dealing with fractional shares
We just incorporated and are now bringing on board an advisor. We want to give him %1. Our company consists of me and two co-founders, each with 1 million shares. Our total authorized shares are 5 ...
0
votes
1answer
48 views
Repercussions maintaining ownership to a company I am not actively contributing to
I am a co-founder of an LLC and because of some very heavy issues that has come about, I haven't been an active team member. The business has been around for a few years and, like everyone else who ...
3
votes
3answers
196 views
Do I have to sell my shares to my cofounder?
Our company ran low on funds about 4 months ago. We decided it would be best If I took on an advisory role and went to work elsewhere to cover my personal expenses. I have vested shares in a large ...
1
vote
4answers
324 views
Help me understand issuing shares
If a company issues more shares does that reduce the value of the shares already issued? Logically it should.
For example if I gave 10% to someone for some work then later double the number of ...
5
votes
5answers
214 views
How does one go about finding shared office space, specifically in the UK?
I'm currently working from home, but finding this too solitary, and also need a change of environment in general so I'm considering moving cities. I think this is a great time to branch out of my ...
1
vote
1answer
168 views
developer (almost co-founder?) getting 5% share
I'm in a same situtation, maybe worse as this guy:
Developer, offered share in small startup company in return for large rate reduction - advice needed
Two friends had an idea, they were kinda ...
11
votes
4answers
1k views
Developer, offered share in small startup company in return for large rate reduction - advice needed
I currently work freelance as the sole software engineer for a small but promising startup company. I've been working with them for a several months, converting their "demo ware" software into ...
0
votes
1answer
69 views
From freelance to CTO: conditions
I am currently working as a Freelance mobile programmer for a start-up since the project started, but I have always given my opinion and advise about business development (for free),
and it came to a ...
0
votes
1answer
116 views
Software Startup 9 Months Of Development [duplicate]
Possible Duplicate:
What would be a fair equity distribution between me and my co-founder?
I started developing a software product 9 months ago which is now ready to launch. My buddy has ...
3
votes
0answers
116 views
Equity for First paid Tech-employee in a not-profitable financed Startup
I'm trying to be as specific as possible here:
We are a Startup 5 months on the go with three co-founders. Since none of us can truly code we need to employ our first Web-developer and we have found ...
4
votes
3answers
186 views
What disadvantages are there if I have 45% of the share?
A close friend of mine wants to start an Internet business and he offered me to be his partner. I will be responsible of building the website and deal with technical issues. He will be responsible of ...
6
votes
5answers
452 views
How much equity should I get for developing a site where the idea isnt mine
A few months ago, I was asked to join a startup for $85k/year. All the company really had was a pretty big angel investor and one guy with the idea (wealthy father and son with the idea). Before ...
1
vote
2answers
108 views
Minimum Cost of Par Value for 10 million Common Shares (Delaware)
It is my understanding that many tech startups form their C Corp in Delaware and issue 10 million common shares for various reasons.
My question has to do with Par Value per share. Most startups ...
0
votes
0answers
29 views
partnership models [closed]
I am trying to form a LLC with a Non resident. He has a company overseas running for 10 years. Both of us have a technical background.
My responsibility is to form LLC,open bank a/c coordinate with ...
0
votes
0answers
26 views
How many percentage of shares ownership/equity for a CTO + co founder in startup software company if I'm not a software guy but do have the idea? [duplicate]
Possible Duplicate:
Forming a new software startup, how do I allocate ownership fairly?
If I don't have skill to anything related to make a software (UML design,code,program,etc), but I do ...
1
vote
0answers
18 views
How to split share at moonlighting stage? [duplicate]
Possible Duplicate:
Forming a new software startup, how do I allocate ownership fairly?
I have a business idea. I have talked to two other people about this and they are interested. We are ...
0
votes
1answer
44 views
Does having stock grant equal shareholder
Legally speaking, if a person has been issued a stock grant does it automatically make that person a shareholder?
Or does he need to be given a stock certificate?
What about options?
1
vote
1answer
93 views
Is it unattractive to investors if I have a 51% Anti-Dilution Provision?
Will investors be turned off if i own 51% of the company and have an Anti-Dilution clause that keeps me at 51%?
I expect I will go through several rounds of 3rd party investing in my start-up.
1
vote
0answers
17 views
How to divide equity between founders in university spin-off? [duplicate]
Possible Duplicate:
Forming a new software startup, how do I allocate ownership fairly?
The history of the project: The project started four years ago based on the works and idea of one of ...
6
votes
3answers
4k views
How do you actually setup a vesting agreement for co-founders w/out breaking the budget?
I'm based in Hong Kong. I've read through a lot of information about share vesting for co-founders and realized that is definitely the solution I want. I'm now trying to figure out how to actually go ...
3
votes
1answer
157 views
How to structure even number of board of directors?
We are in the process of setting up a board structure for our startup. Everybody on the board will have their own veto rights on important matters, such as capital injection, spending limits, getting ...
1
vote
1answer
108 views
Partnership disagreement
My business partner and I have formed a partnership, we are in the process of drafting our partnership agreement.
One of the points that he wants on there is:
If one of the partners leaves they ...
0
votes
1answer
188 views
Where to put vesting schedule for founders?
For a new corporation, should the vesting schedule and related conditions be written in the Articles of Incorporation, Shareholders Agreement or as a separate document?
Thanks for any advice.
1
vote
1answer
59 views
Tricky Stock Creation Scenario
My partners and I own a couple business'. They are both LLC's. We want to start a third as a shell corporation which will own the other two by way of shares not the LLC partner names on everything ...
0
votes
0answers
37 views
Shares to programmers [duplicate]
Possible Duplicate:
Forming a new software startup, how do I allocate ownership fairly?
So I friend of mine has this idea for a kind of social network based on video blogging, for obvious ...
2
votes
2answers
139 views
Can a firm buy itself?
Suppose you got scammed by an incubator, who is however apparently willing to sell his shares (which are now worth a couple times more than the initial injection (which effectively did nothing))
...
0
votes
2answers
222 views
Clawback vs. vesting
What is the difference between clawback and founder vesting? It seems that the term "clawback" was used in connection with the Zynga and Skype cases Equity Clawback - how to avoid Zynga situation
2
votes
2answers
487 views
Under what conditions can a C corp authorize new shares?
Under what conditions can a C corp increase the total number of shares authorized?
Board approval? Majority shareholder approval? Unanimous shareholder approval?
0
votes
0answers
26 views
Share structure changes
Two friends of mine and I started a website development company (Australian Pty Ltd). Everything is going fine, we've got a few clients and a little money in the account.
After 4 months, one of three ...
1
vote
4answers
297 views
Advice on percentage to bring designer to startup
I'm working on a startup based on my partner's idea.
It's a social website.
My partner is not not a technical guy but the one with the original idea, he had previous experience with a successful ...
1
vote
2answers
138 views
How many shares in my case?
I recently joined a small company who has been established for a year and doing outsourcing. It doesn't have tech employees and what they do is to take customer request and find outsourcing companies ...

