Legal

Founders’ Agreement

A written agreement between co-founders covering who owns how much, who does what, and what happens if someone leaves. Signed early, while everyone still agrees.

Example

A founders’ agreement saying equity vests over four years stops a co-founder who quits in month three from keeping 50% of the company.

Related terms

ESOP

A pool of shares set aside to give employees ownership in the company, usually earned over time. A key way startups attract talent without huge salaries.

Vesting

Earning your shares or options gradually over time, so you have to stay to fully own them. A "cliff" means you earn nothing until a first milestone (often one year).

Equity

किसी कंपनी में मालिकाना हक, जिसे शेयरों के रूप में रखा जाता है। यदि आपके पास 10% equity है, तो इसका मतलब है कि कंपनी की कुल कीमत का 10% हिस्सा आपका है।

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