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Make sure that the break with your ex-co-founder is a clean one, i.e. ensure that company ownership, IP rights etc is resolved in a way that leaves no room for
by haasted 16y ago
Make sure that the break with your ex-co-founder is a clean one, i.e. ensure that company ownership, IP rights etc is resolved in a way that leaves no room for doubt at some later point.
You should try to avoid a situation where he can return at some later point with a potentially legitimate claim to a part of any business that your company may have evolved into.
- sammville 16y agoWe never signed any agreements so i don't think it would be a problem. Thanks for the advice
- dreamux 16y agoWhen you find another partner, give them a stake in the project (equity; incorporate if you haven't already - its not expensive), having skin in a project makes it more difficult to arbitrarily walk away.
- maxbrown 16y agoCareful - have it vest over time! Don't sign over equity immediately to someone that could bail on you and keep the equity.
- ndl 16y agoYou should still check this carefully. It would suck to find out after you have started making money that you're about to get slammed with litigation.
- russell 16y agoYou do have a problem. He may come back later and claim half the company. He can claim verbal promises and will probably win. Best to have a lawyer draft a release and have the guy sign it. A friend of mine hired a contractor without a work for hire agreement. The guy came back later and claimed the software. It cost my friend $20k to get rid of him. And that was when $20k was real money. So my non-lawyerly advice is to always have some sort of simple document to protect yourself.
- petervandijck 16y agoYes, you need to have this person sign something stating that he doesn't own anything. And go watch The Social Network.