If intellectual property is an essential part of your business, it`s important to protect that IP during the start-up phases. You can solve this problem by relying on patents, trademarks, copyrights and trade secrets to protect your valuable ip. Another step you can take is for all co-founders and third-party developers to assign the company their IP rights that they created and that are used by the company. This will help avoid problems when a co-founder leaves the company and wins a decisive patent. In the end, if you work more, you risk much more if the project fails, which means you`ll be entitled to more if the project is successful. Also keep in mind that part-time co-founders are a big minus for someone considering an investment, so choose your partner wisely. Not quite. If you are considering starting a business with others, it is essential that you all have some time to discuss and develop a co-founder`s agreement. You can understand yourself perfectly at first, but as your business grows and develops, you may discover that you have differences about the future of your start-up or its mission.

And if these differences occur while the company is working, it will only make the problems worse. First, you need to decide what intellectual property is for your business. Everything the co-founders do about the company during working time — it`s simple. But what about a co-founder on vacation who invented new ideas? If something has been written in the “Notes” section of a company phone, is it the intellectual property of the company? They might be inclined to be tenacious about it, but it is not necessarily the best approach. Conflicts, disputes and disagreements are part of the life of startups. The maturity is to think the scenario in advance and to agree and document a framework/process for resolving such a conflict. Finally, you want to clarify the validity of the founders` agreement, as well as an opportunity for all parties to deliberately terminate the agreement. Don`t forget to add in an escape hatch, in other words, you never know what will happen on the street. It won`t legally hire you to continue working for your business, but even if you are now incredibly passionate and excited, you should consider the possibility that your life will move in another direction. Get ready with every fork on the street to be sure.

The co-founders should keep their initial legal agreements fairly simple, taking into account two key figures: some co-founders, for example, want to share equity equally. Others might want to divide them according to roles and responsibilities (which we discussed earlier!), or who provided the most money to set up the business. Perhaps you give a larger percentage to the person who ever had the idea, or to the person who encoded the first demo or who made the first stack. The agreement indicates the founders and the company for which they agree on the rules. Lawyers and entrepreneurs understand that a business creation agreement is an initial assessment of the situation when the company is young. If circumstances change a little later, it is not that great. You can include procedures in this document to make the necessary changes and updates. But it`s the perfect place for you and your co-founders to rethink the problems you or your company might encounter and find solutions for the future. The role of a president is often a little vague and many startups consider it useless. Some say that a president oversees staff functions such as personnel, finance and strategy, while others say the president is essentially the same as an OCC, but for small businesses. Think long and hard about whether your company needs someone to fulfill this designation or whether your business is fully covered by a CEO and COO.