Co-Founder Agreements: Protecting Your New Venture

A new business venture may be exciting for an entrepreneur — whether you are forming a partnership, LLP, company or society. If you are working with other partners, putting a clear co-founder agreement in place from day one is one of the most valuable things you can do for the business.

A well-drafted agreement records the founders' roles, responsibilities, equity splits, decision-making processes and what happens if a founder leaves. It avoids costly disputes later by addressing the difficult questions while everyone is still aligned.

Key clauses to consider include vesting schedules, intellectual property assignment, confidentiality, non-compete provisions, and dispute resolution mechanisms. Each business is different, so the agreement should be tailored — not pulled from a generic template.

If you are setting up a new venture or revisiting your existing arrangements, our corporate team can guide you through the process and draft an agreement that fits your business.