Why avoid a 50/50 equity split

Why Avoid A 50/50 Equity Split

Alexandra Isenegger Legal Documents, Startup Advice & Tips

If you’re a startup with two co-founders, you may  be tempted to split your equity 50/50. In theory, this may seem like an easy and fair way to divide ownership. However, an equal equity split may lead to a number of future problems that you should consider before going this route. Although rarely discussed because it’s a sensitive matter, founder …

Splitting equity

Questions To Ask Before Splitting Equity

Alexandra Isenegger Legal Advice, Startup Advice & Tips

Splitting equity in a startup can be a sensitive topic. How much equity does each founder deserve? The answer to this question is usually different based on each founder’s perspective and, consequently, can be a cause of conflict. But, if you ask the right questions, it’s possible to divide equity in a way that feels fair and satisfactory to everyone. …

Co-founders

10 Signs That You and Your Co-Founders Are In Alignment

Linkilaw Startup Advice & Tips

Co-founders are key for the success of a business but many founders overlook the importance of building a great team and fall into the trap of working with and employing people who might initially support their idea but who in time, are not the right fit or don’t bring the right skills. Consequently, it is important to conduct proper vetting …

Co-founders Fall out

5 Reasons Why Co-founders Fall Out

Linkilaw Startup Advice & Tips

A remarkable statistic to throw your way … “65% of high-potential startups fail due to co-founders fall out” This statement was made by Noam Wessman, Harvard Business School Professor and author of The Founder’s Dilemma who states that co-founders fall out for many reasons, such as money, business strategy, and leadership. A simple solution to this problem is to create …