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Founders Agreement

FOUNDER'S AGREEMENT

Oral agreements are more likely leading to disputes. Get your agreement draft ready and avoid dispute.

GET YOUR FOUNDER’S AGREEMENT DRAFTED NOW

    What is meant by founder's agreement?

    The founder’s agreement refers to a legal agreement which is executed between the co-founders of the entity while setting up their business. This agreement shall reflect the roles and responsibilities, rights and duties, ownership and liabilities, and also investment proportions of each founder of the entity.

    Documents required for Drafting

    Details of Parties & witnesses
    Details of Parties & witnesses

    Identity proof and Address proof of parties involved & witnesses.

    Contact details of authorized person
    Contact details of authorized person

    Email ID & Mobile Number.

    Related Information
    Related Information

    Any required information to be used for creating the draft.

    Supporting documents
    Supporting documents

    Any referential or supporting documents for the draft.

    HOW WE WORK

    Fill the form and make payment of nominal fee.

    1. Fill the form and make payment of nominal fee.

    Our experts will call you and collect documents.

    2. Our experts will call you and collect documents.

    Make rest fee payment.

    3. Make rest fee payment.

    Drafting of documents as per requirement and sending documents for approval.<span>Single time change is allowed(if any).</span>

    4. Drafting of documents as per requirement and sending documents for approval.Single time change is allowed(if any).

    Final documents will be shared by our experts.

    5. Final documents will be shared by our experts.

    Congratulation your draft is ready!!

    BENEFITS OF WELL DRAFTED FOUNDER'S AGREEMENT

    Serve as a Legal proof

    Written document act a documentary evidence and serve as a legal proof in the court of law.

    Show Professionalism

    Proper and correct drafting of documents give a sense of professionalism and create a serious impact over the involved parties.

    Reduce chances of dispute

    A well drafted documentation lead to clarity of the facts and laws. It reduces the chances of dispute which may occur due to oral discussions or roughly drafted documents.

    Prevent Confusions

    Good documentation practices help to prevent time-consuming missteps and confusion for all the parties involved.

    What are the essentials of founder's agreement?
    • A founder’s agreement must be created in the written format for the purpose of evidence and documentation.
    • In founder’s agreement two or more partners can jointly enter such are called co-partners/ parties.
    • All the co-founders will enter into the founder’s agreement while incorporating the business entity.
    • The agreement must be properly executed, stamped and notary with the signatures of all the co-founders.
    What are the major provisions of the Founder’s Agreement?
    • Demarcating the equity ownership of each of the co-founder of the company.
    • Agreement shall rule out a proper pattern of vesting the shares.
    • Restriction or lock-in clause related to the restricted transfer of shares of the founder.
    • Explicit clause stating that the intellectual property rights, if any, developed by the co-founders are allocated or owned by the company.
    • Clause in relation to restriction on trade that no founder shall indulge in any activities which could in any manner conflict with the objective of the company.
    • Agreement must contain the terms of employment and also roles, benefits and consideration of each founder.