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Devashish Shrivastava Top Contributor
Undergraduate student | Content Writer
Asked a question 2 years ago

How should equity be divided among co-founders of a startup?

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Devashish Shrivastava Top Contributor
Undergraduate student | Content Writer

There is no single right answer, however, you ought to examine it and concur upon it right forthright to stay away from any mistaken assumptions later on. In the event that you are the founder and minds behind the thought, a great contention can be made for over half proprietorship. The split should consider:  

  • The overall estimation of the commitments of the founders
  • Vesting subordinate upon proceeded with support in the business (you would prefer not to part with 25% of the organization to somebody who leaves following a couple of months)  
  • The measure of time to be focused on the business  
  • The money remuneration to be paid as a worker  
  • Regardless of whether the organizers will be contributing money as an interest in the business 
  •  Regardless of whether one individual needs to keep up authority over dynamic