Startup Professionals Musings

MAY 18, 2015

Typically, vesting in startups occurs monthly over four years, starting with the first 25 percent of shares vesting only after an owner has remained active for at least 12 months (one year cliff ). Key founder vesting should have no cliff. Accelerate your own vesting if pushed out or the startup is acquired.

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Stock Vesting Common Stock Founder Vesting 120

The Equity Kicker

OCTOBER 8, 2014

We couldn’t use them as is because they don’t have enough detail on key items, like investor protections and founder vesting. Since writing that termsheet we have used it on around four deals and shared it with a few more companies we have had discussions with.

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Founder Vesting Vesting Option Pool Institutional Investors 92

The Equity Kicker

OCTOBER 8, 2014

We couldn’t use them as is because they don’t have enough detail on key items, like investor protections and founder vesting. Since writing that termsheet we have used it on around four deals and shared it with a few more companies we have had discussions with.

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Founder Vesting Vesting Option Pool Institutional Investors 68

ithacaVC

JUNE 20, 2011

2. You need (or think you need) a stock option plan: granting stock options (and other forms of equity compensation to employees like restricted stock) should be done under a written equity incentive plan. You might be doing a convertible debt round or an equity round. The convertible debt round will take less legal time.

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Stock Options Vesting Subscription Agreement Founder Vesting 58

venturehacks.com

FEBRUARY 24, 2010

Breakups are hard If you’re going to fall out with your co-founder, do it early, recover the equity into the option pool to keep the company going, and recruit someone else great to fill the missing slot. Build in founder vesting (a.k.a. the “Pre-Nup&# ) to keep the breakup from getting messy.

Cofounder 101

Cofounder Founder Technical Cofounder Technical Review 101

Scott Edward Walker

SEPTEMBER 28, 2011

The only solution in such a scenario is to negotiate a repurchase of those shares, which could be very expensive or impossible (if the departing founder wants to screw with his co-founders). IP Ownership.

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Vesting Software Review IP Intellectual Property 89

K9 Ventures

OCTOBER 27, 2016

One of these norms is how founder vesting and employee vesting works. I won’t get into employee vesting today as that has much more to consider than I have time to cover in this short post today. Here is a good summary post from Cooley GO on Founder Vesting. The first is fairly obvious.

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Founder Vesting Vesting Founder Term Sheet 48

venturehacks.com

SEPTEMBER 22, 2011

The Equity Equation. As this nuclear winter of venture hacks continues, I thought you might enjoy our thoughts on Paul Graham’s The Equity Equation. ” Read the rest of The Equity Equation first; it is great. You have to pay market rates regardless of the equity equation. Venture Hacks Good advice for startups.

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Equity Cap Table Valuation RSS 40