Hi everyone. I have an issue with a co-founder who I am about to let go (won't go into details). I already know he is going to be very upset...and am concerned about what he could do to sabotage the business in the future. I won't get into details about why I suspect this.
I want to give him something for his effort the past 6 months. but I don't have cash at the moment. I am about to incorporate and figure if I give him equity, I will feel better that he is getting something and it also might give him an incentive to help support us if anything in the future.
The Question: Is there a way to give equity (read: shares) but not have to worry about him leveraging that position to cause problems later? i.e. sabotaging future contracts when we get additional investors from series A etc... e.g. I wouldn't want him to have voting rights but also not be able to not sign shareholder agreements in the future.
any creative ideas welcomed!!! I'm in a tough spot.
-Chris
I want to give him something for his effort the past 6 months. but I don't have cash at the moment. I am about to incorporate and figure if I give him equity, I will feel better that he is getting something and it also might give him an incentive to help support us if anything in the future.
The Question: Is there a way to give equity (read: shares) but not have to worry about him leveraging that position to cause problems later? i.e. sabotaging future contracts when we get additional investors from series A etc... e.g. I wouldn't want him to have voting rights but also not be able to not sign shareholder agreements in the future.
any creative ideas welcomed!!! I'm in a tough spot.
-Chris