Whether you're hoping to go public or starting a modest company with a few close friends, a Founders' Agreement is a great first step for your business. You'll be able to lay out and establish important rules around decision-making power, ownership distribution, and distribution of your business's shares, all in one simple document. Keep in mind that you don't need to file a Founders' Agreement with your state or local government, so simply create one and keep it with your other important corporate documents, like your Meeting Minutes and tax records. Since a Founders' Agreement isn't a legal requirement to go into business, you can actually create one as soon as you and your co-founders have the idea for your business. The important thing is that your Founders' Agreement codifies the rules you and your business partners will adhere to as your business grows and prospers. It's important to nip any possible disagreements in the bud and make sure that everyone knows where they stand, as far as ownership and decision-making powers are concerned.
Many entrepreneurs opt to register a separate business entity (such as an LLC, corporation, or nonprofit) after creating a Founders' Agreement. If this sounds like you, Rocket Lawyer can make your next step easy.
With Rocket Legal+, you can get fast, personalized support to start your business. Your first business registration is FREE*, and you can keep your business compliant with HALF OFF professional services for trademarks, taxes, and more. *See details
