2 ms·
ASk HN: 2 questions about founder's equity
When it comes to founder's equity, the general rule of thumb seems to be to vest it over 4 years and have a 1 year cliff (so if one of the founders leave before a year is up, they lose their equity. So far so good, but here are my questions:
1. What if one of the founders isn't doing much work during the first year and they refuse to leave on their own accord?
2. After the first year, what if one of the founders decides to start another company on the side without his partners? Should that company be considered part of the original startup?
- wmf 14y ago1. Shotgun clause or something similar. 2. Work-for-hire clause or similar — everything that the employees do is property of the company unless specifically negotiated otherwise.