Possibly the most important first step in a business is formalising the relationship between the business founders. This relationship really needs to focus on the following principles – and we have solutions that address each one of them for you.
- Commitment: the success of the business you have embarked on will take commitment from each of the founders. How can each of you be sure that all the founders are committed?
- Control: how are the big decisions taken by the company? Who really has the power to make these decisions? Who really controls the company?
- Economics: who owns the company, and in what proportions? Then, how can the founders get the value created by the business – how are the profits of the company distributed to the founders, and when can the founders sell their shares?
- Funding: how will the company initially be funded – loans from founders? Working for no or a low salary? Angel funding?