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If two founders can't agree on a critical decision, is the situation any better if they're 70/30 rather than 50/50? The person who "loses" will not feel good a
by jbyers 18y ago
If two founders can't agree on a critical decision, is the situation any better if they're 70/30 rather than 50/50? The person who "loses" will not feel good about it, and I think that feeling is compounded by the inequality in ownership. 50/50 drives you engage your partner in hard decisions and get to a solution you can both live with.
- biohacker42 18y agoBut what if you can't agree on a decision, but you could live with one partner having the last word? Say we agree on you taking the 51% side, then I have to think up front if I can live with you winning every time we can't agree. We'll be agreeing most of the time and if I'm an adult I can live with the occasion when we disagree but you have the last word. The worst case scenario here is that over time I can't take it and refuse to participate. That's pretty bad, but the worst case scenario with a 50/50 split, is paralysis thus guaranteed failure. I am not saying 51/49 is fair, I am saying its wort case failure mode is just a bit better then the 50/50 split worst case failure mode.