Planning for success in your business
Developing a founder's agreement is critical to the future success of both budding and serial entrepreneurs. A clear agreement between founders addressing the 6 issues listed below will be valuable to survive the possible dark days ahead of you. A founder’s agreement can be as basic or complicated as you make it. Here are 6 issues that can be agreed upon early in the life cycle of your business:
1. What are the roles and responsibilities of the founders?
2. What happens to the shares of a founder if the founder wants to exit?
3. What happens if a founder is not able to devote adequate time to the new venture?
4. Who is going to own the intellectual property?
5. What happens in case the business shuts down?
6. What happens if a new investor joins the business?
Seeking legal counsel to memorialize the answers to these questions in advance of an agreement will be beneficial to your long-term success as a founder.
-Disclaimer-
Kentner Law provides material for informational purposes only. The material provided herein is general and is not intended to be legal advice. The choice of a lawyer is an important decision and should not be based solely upon advertisements.
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