We have a companion blog post on this complex topic you can read here.

This episode provides comprehensive guidance on startup equity splits among founders, emphasizing that effective communication and proper documentation are more crucial for success than the exact percentages themselves. 

We highlight that while Y Combinator advocates for equal equity, both equal and unequal distributions have led to successful companies, provided there are clear agreements. The episode outlines five key factors that should influence equity distribution, such as time commitment, skills, and future contributions, alongside the critical role of vesting schedules. Finally, we detail legal necessities and a structured communication framework designed to prevent co-founder conflicts, which are a leading cause of startup failure.

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