The early days of a startup are fueled by vision, momentum, and trust. Founders are focused on building products, raising capital, and capturing market share, not drafting legal documents. When co-founders are friends, former colleagues, or longtime collaborators, formal agreements can feel awkward or unnecessary. But this well-intentioned informality is one of the most common, and most destructive, mistakes early-stage companies make. In reality, unclear or incomplete founder agreements are responsible for some of the most costly and devastating disputes in startup history. As equity becomes valuable and intellectual property becomes central to the company’s worth, assumptions quickly unravel. What…
