How to spot an investor who adds value to a company? Why is this important? Founders today are well aware of the importance of having strategic partners on board when building a company. You need people at the table who are as committed to its long-term success and...
Founders should remember to tread cautiously when navigating liquidation preference clauses. Raising money for a startup is understandably challenging. To attract investor interest, they often make crucial errors like accepting toxic terms that enable investors to...
An increasing number of companies and investors are now relying on the liquidation preference provision to finalize funding deals. Although this clause is more common among later-stage company deals, like Series B and beyond, startups may also offer them. Liquidation...
How to draft a cofounders’ agreement is one of the first tasks you should explore when establishing a startup. Developing a great business idea and a plan for transforming it into a marketable product is only the first step. While discussing the further steps with...
A cofounders’ agreement, also known as the founders’ agreement, is the cornerstone of a successful company. Creating the contract and having the cofounders sign it is crucial during the early stages of building the startup. That’s how you’ll prevent the risks of...