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Three Most Important Co-Founder Terms to Agree on


👉🏼 If you’re two co-founders, instead of a 50:50 share if you could decide on a 51:49 holding, it’s Pre deciding that in case of a deadlock, you both agree to let one person take the tie breaker vote.


👉🏼 Your Co-Founders Agreement (made part of the Articles of Association) can also specify who gets to have the tie breaker vote for different functional decisions.


👉🏼 Please have a vesting clause built between yourselves so that if you have a 50% ownership in the company, you only earn it by sticking around for 4 years or more, in a pro rata fashion. The last thing you want is one person walking out in less than a year but still holding half your company.


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A Chartered Accountant with about 10 years of experience in areas of Tax Advisory, Startup Consulting, Fundraising, Audits, Deal Advisory, Business Modelling and contract CFO services.


Winner of the ISB Young Leader Award 2017 and the Best All Rounder, PGP Class of '17, Sarthak has also been published about in the leading financial newspapers such as The Financial Express as possibly the youngest Indian to have completed the courses of CA, CS and CMA along with a graduate degree in Financial & Investment Analysis from University of Delhi, all by the age of 23 years.