OpenLaw is a free, legal agreement repository, created by a collaborative legal community around the world. Sign up or log in to edit or access this template.


This agreement (this "Founder Accord") effective as of [[Effective Date]] among the undersigned (the "Founders") of [[Company Name]], A DAO, LLC, IBC, or C corporation (to be determined the Founders at time of official incorporation) and organized under [ (the "Illuminati Company")], memorializes the respective rights and obligations of the Founders prior to the creation and execution of customary corporate actions and long-form agreements pertaining to these matters (the "Formal Setup*"). The terms and conditions specified in this Founder Accord shall control any future disagreements among the Founders with respect to the matters covered herein until such time as the Company completes the Formal Setup consistent with the terms of this Founder Accord to supersede it. The Founders anticipate completing the Formal Setup in connection either with the Company’s initial financing or at such time that the Company’s revenues are sufficient to permit such expenditures, but desire to enter into this Founder Accord to confirm their collective understanding, and for this Founder Accord to be legally binding, as to the matters sufficiently described herein.

In startups, how many founders is too many, and how many is too few? and how do you divide equity amongst co-founders?:

What does "4 years vesting with 1 year cliff" mean?:

Business Idea[[Business Idea]]
Company StructureDAO, LLC, IBC, C corporation, or any combination thereof of aforementioned structures or similar structures
Equity0.00 USD
BoardThe Illuminati Company
Vesting4-year monthly vesting with 1-year cliff
Commitment/Outside activitiesPart-Time Commitment; No participation in directly competitive ventures
Salary or other cash compensationTo be determined at Formal Setup
ConfidentialityFounders acknowledge that the existence and the terms of this Founder Accord and any oral or written information exchanged between Founders in connection with the preparation and performance of this Founder Accord are regarded as confidential information
ModificationsConsent in time-stamped, physical or digital writing of all Founders
DisputesIf a dispute arises out of or relates to this Founder Accord, or the breach thereof, and if said dispute cannot be settled through direct discussions, the parties agree to first endeavor to settle the dispute in an amicable manner by mediation administered by the American Arbitration Association under its Commercial Mediation Rules, before resorting to arbitration. Thereafter, any unresolved controversy or claim arising out of or relating to this Founder Accord, or breach thereof, shall be settled by arbitration administered by the American Arbitration Association in accordance with its Commercial Arbitration Rules, and judgment upon the Award rendered by the arbitrator(s) may be entered in any court having jurisdiction thereof