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A comment on Ask HN: founders wants me to join for just equity, how much should I ask for?. Parent comment

Re:Ask HN: founders wants me to join for just equity, how mu... by gizmo on Friday February 19, 2010 @11:39AM (#1137298)
> memorialize the agreement

Absolutely, that's the primary reason. It also clears up unnecessary misunderstandings. (E.g. one party may assume preferred stock, while the other founders will assume common stock.)

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Re:Ask HN: founders wants me to join for just equity, how mu... by hga on Friday February 19, 2010 @12:01PM (#1137350)
Very true ... it hadn't occurred to me since due to my family's business dealings I'd absorbed that by the time I was making agreements.

Putting it down on paper forces a minimal level of clarity and detail, and gives all the parties concerned several chances to get it right, enumerate and specify details such as the above, etc.

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