Being through a similar situation. My advice would be shut shop, suck up the losses and start fresh. At the end, whatever you and learned in this process is the

Being through a similar situation. My advice would be shut shop, suck up the losses and start fresh. At the end, whatever you and learned in this process is the most valuable thing with you, and so it is with your co-founder. If you have IP involved, either write if off or agree that both of you an use it without any liability on each other. The longer this will go on the worse it will get, so just face the reality that this partnership is not working out and start taking corrective action. Good luck!