
Ask HN: How to release co-founders? - ycmike
We started the company as three friends but they have made it clear to me it is just a project or hobby to them. I&#x27;ve also done 80% of the work. How should I handle this?
======
lancewiggs
Write down as a group what needs to be done next, and who will/can do it. Then
agree on an equitable split of equity considering dollars time and expertise
committed going forward. Think of it as a round of finance where sweat is
valued more than dollars.

~~~
ycmike
Is this the same if we have not incorporated yet? Right now we are three guys
in college working on a "project". I just treat it as more than a project.

~~~
lancewiggs
Yes - exactly the same. It's really important in either case to get
expectations of what you will do and who gets what actually written down, even
if in email form.

------
redtexture
What are your previous agreements or understandings, even if unwritten?

Is there an entity, or are you solely individuals collaborating?

Are they willing to let you own their contributions?

Might you work together again on other projects?

~~~
ycmike
Yeah I don't think so. They are just not that motivated and I am. We have not
incorporated so I don't know if that is a good or bad thing.

~~~
redtexture
OK. It appears that there was no corporation that your work was contributed
to. The personal intellectual contributions of your partner-founders are the
assets to discuss, and that you will desire to have fully released to you to
use going forward.

If they are done with the idea, a conversation about the value or
worthwhileness of releasing their contributions to you is appropriate. Those
initial contributions are not worth much if they cannot do the really hard
work of making the idea live, sustainable, and perhaps completely changed by
later understandings about finding your audience of paying users.

The concept is "ideas are cheap--implementation and the people committed to
the implementation are everything".

If there were a corporation, and employment agreements stating that the work
and IP became the property of the corp., the conversation would be about
ownership or vesting and non-vesting of the departing founder's shares in the
corp. Early departing founders get nearly nothing.

It is typical in venture funded startups for the funders to to demand that
founder's stock vest over several years so that the startup is not controlled
or excessively influenced by (subsequently) departed and non-contributing
founders. You have now met the reasons for this kind of arrangement.

~~~
ycmike
Thanks. I totally agree and will share so with them. Execution is everything
and we were so early that no agreements were made. I also do think it would be
wise to get their leave in writing. You don't want a founder to come back
later if the venture was in any way successful.

~~~
redtexture
Words including ideas such as "release all interest in copyright, trademark,
and business methods and business ideas in relation to project X to person Y"
are part of your conversation.

If your partners were to receive even 5% in total, of the resulting follow-on
entity would be a very large amount (if they even received anything).

~~~
ycmike
On it!

------
j45
What is your goal? Ask them to move on? Will you pay them for their 20% (in
your estimation)

~~~
ycmike
My goal is to build build a great company that makes housing easy for
students. They don't buy into the scope and hard work involved. I think
compensation for their 20% is fair but we have not even incorporated yet?

------
runjake
Maybe talk to them now, since this probably should have been asked anonymously
and it was easy to track down who your co-founders are (unless this whole
thing is a "growth hack" scheme)?

~~~
ycmike
Haha I wish I was that smart! An ironic thing is that they are so non-
technical they have no idea what Hacker News is and will never know about this
post. But yes, I do need to talk with them and just be frank.

