Startup Professionals Musings

JANUARY 22, 2013

Since founder’s shares are usually issued at the time the company is incorporated, they essentially have no real value. Vesting with no cliff. Most founder vesting is not subject to the one year cliff because partners should already know and trust each other.

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Vesting Common Stock Stock Founder Vesting 245

Hunter Walker

FEBRUARY 20, 2024

Founder Vesting [Jared Hecht/USV] – Jared joined USV earlier this year and it’ll be interesting to see how his writing changes as he adds ‘institutional VC’ to his founder and angel investor knowledge.

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Founder Vesting Vesting Cap Table Founder 85

Steve Blank

JULY 19, 2010

The customary vesting model has founders vest their stock over 4-years , and when the founding CEO gets in over their head the VC’s bring in professional management. At best this is an argument where no one wins, at worst it’s like a nasty divorce. More often than not the founding CEO leaves the company.

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Vesting Liquidity Event Founder Vesting Venture Capital 264

Gust

AUGUST 30, 2012

Valuation, Size of Raise, Amount of Investment, Form of Investment, Liquidation Waterfall, Option Pool, Board Composition, Anti-Dilution Rights, Protective Provisions, Founder Vesting, *original post can be found on Quora @ : [link] *.

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Founder Vesting Option Pool Vesting Exit Strategy 144

Startup Professionals Musings

OCTOBER 7, 2010

Since founder’s shares are usually issued at the time the company is incorporated, they essentially have no par value. Vesting starts now. Most founder vesting is not subject to the one year cliff because founders should already know and trust each other.

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Stock Vesting Common Stock Founder Vesting 214

Gust

MARCH 16, 2014

Since Founder’s shares are usually issued at the time the company is incorporated, they essentially have no real value. Vesting with no cliff. Most Founder vesting is not subject to the one year cliff because partners should already know and trust each other.

Stock 175

Stock Vesting Common Stock Founder Vesting 175

Genuine VC

OCTOBER 2, 2012

Founder vesting is the most common example. Lawyers going back and forth on minute/inconsequential details, of course. But frequently, there is time spent negotiating business terms which weren’t specified in the tern sheet itself.

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Term Sheet Founder Vesting Due Diligence Syndication 162

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

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. Retain the right to reclaim stock from anyone leaving the startup.

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Stock Vesting Common Stock Founder Vesting 120

Feld Thoughts

JULY 29, 2011

This includes agreeing on how you will handle personal investments in the business, but it also includes many other topics such as founders’ vesting schedules and voting rights. This will save a lot of pain down the road. Every time you put money in the business it represents some form of debt or equity transaction.

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Equity Finance Denver Pre-Money Valuation 137

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

Andrew Payne

SEPTEMBER 9, 2017

If we allocate (say) 15% for future hires and 40% to investors for the first round (or rounds), that means founders are splitting the remaining 45% of the company, per their agreed-to relative ownership. Post-funding, the founder’s ownership is: Alice. Also, founders should absolutely implement some form of vesting.

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Equity Founder Vesting Dilution 71

ithacaVC

JUNE 20, 2011

You are setting up a legal entity : unless you are the only owner of the entity to be formed, then using an online legal service is pretty tricky and inefficient as there is no one to direct basic questions to like (i) how to deal with and document founder vesting, (ii) how many shares should I authorize and issue, (iii) what type of legal entity (..)

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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

You also need to remember to file your 83(b) election with the Internal Revenue Service within 30 days after the grant/purchase date of the restricted shares (see tip #3 of my post “ Founder Vesting: Five Tips for Entrepreneurs ”). 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

Ask the Attorney” – Founder Vesting. Our Spreadsheet. Check out the video tour. Charles River Ventures : We back people who want to change the world. Supporter Posts. Scott Edward Walker. This post is part of a new series entitled “Ask the Attorney,” which I am writing for VentureBeat (one of my favorite websites for entrepreneurs).

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Equity Cap Table Valuation RSS 40