Re:Ask HN: My co-founder refuses to sign a vesting agreement
by RtBVCFO on Monday April 01, 2019 @04:57AM
(#19541606)
Exactly.
Understanding WHY he doesn't want to sign gives the direction to solve it. I've had clients being resistent on them as well, but addressing the why helped resolve. Usually there is a fear behind it - getting screwed, getting fired, fear of losing control of their baby etc.
Is he looking for a "passive income" gig? He can rest and vest in 4 years.
Is he worried that you can fire him in 3.9 years? Make sure the contract covers firing that all parties can agree on.
Is he worried everyone else will leave at 4 years? 4 years is a good "reassessment" period. If some people want to continue and some don't, they can sell their shares to the others.
Is he worried he can't commit? Vesting is perfect for that! Get paid scaled accordingly with commitment. No social guilt if another opportunity comes up or if the startup isn't making enough to feed the kids. Similarly, you don't have to be so worried about his commitment if he signs.