������Ƶ

A Founders Agreement sets the ground rules between startup co-founders in Germany, much like a partnership contract but specifically tailored for new companies. It covers essential points like ownership shares, roles and responsibilities, decision-making processes, and what happens if someone wants to leave the venture.

German law doesn't require founders to create this agreement, but it's crucial for preventing future disputes and protecting everyone's interests. The document typically aligns with the GmbH law (German Limited Liability Company Act) and addresses key issues like intellectual property rights, non-compete clauses, and profit distribution. Most German startup lawyers recommend putting this agreement in place before making any major business decisions.

Create your Founders Agreement right when you start planning your business venture in Germany—ideally before registering your GmbH or investing any significant money. This timing gives you and your co-founders clear written terms while everyone is still optimistic and agreeable, preventing costly disputes later.

Common trigger points include bringing on a new co-founder, securing initial funding, or developing valuable intellectual property. German courts give strong weight to written agreements made at the start of business relationships, so documenting your shared understanding early protects everyone's interests. Many startup accelerators and investors also require a Founders Agreement before they'll consider working with you.

• Founders Contract: The standard comprehensive agreement covering core partnership terms, ownership, and responsibilities under German law
• Co Founder Vesting Agreement: Focuses on gradual share ownership rights based on time commitment or milestones
• Founder Employment Agreement: Defines the founder's dual role as both owner and employee, including salary and benefits
• Co Founder Separation Agreement: Outlines terms for amicable departure, including share transfers and non-compete provisions
• Co Founder Exit Agreement: Specialized version focusing on buyout terms and post-exit obligations

• Co-Founders: The primary parties who draft, negotiate, and sign the Founders Agreement, defining their roles, responsibilities, and equity stakes in the new German company
• Startup Lawyers: Specialized attorneys who help structure and review the agreement to ensure compliance with German corporate law and protect founders' interests
• Business Notaries: Required under German law to authenticate important company documents, including certain founder agreements
• Investors: Often review Founders Agreements before investing to verify clear ownership structure and governance
• Tax Advisors: Help structure profit-sharing and compensation terms to optimize tax efficiency under German regulations

• Personal Details: Gather complete information from all founders including legal names, addresses, and tax ID numbers as required by German law
• Business Basics: Define company name, legal form (usually GmbH), registered address, and planned business activities
• Ownership Structure: Document exact shareholding percentages and initial capital contributions from each founder
• Role Definition: Outline specific responsibilities, working hours, and management rights for each founder
• Exit Planning: Agree on share transfer restrictions, valuation methods, and buyout procedures
• Document Generation: Use our platform to create a legally compliant agreement that includes all mandatory elements under German law

• Party Identification: Full legal names, addresses, and tax identification numbers of all founders per German Civil Code
• Company Details: Legal form, registered office, business purpose, and initial capital structure following GmbH regulations
• Ownership Rights: Clear specification of share distribution, voting rights, and profit participation
• Management Structure: Decision-making processes, veto rights, and operational responsibilities
• Exit Provisions: Share transfer restrictions, tag-along/drag-along rights, and valuation methods
• Intellectual Property: Assignment of IP rights to the company and confidentiality obligations
• Dispute Resolution: German jurisdiction clause and mediation procedures before court action

A Founders Agreement differs significantly from a Consortium Agreement, though both involve multiple parties working together. While Founders Agreements establish the foundation of a new company, Consortium Agreements typically govern temporary collaborations between existing businesses for specific projects.

• Legal Structure: Founders Agreements create permanent company structures under German GmbH law, while Consortium Agreements form temporary partnerships without creating new legal entities
• Duration: Founders Agreements are long-term and fundamental to the company's existence; Consortium Agreements usually end when the project completes
• Ownership Rights: Founders Agreements distribute company shares and establish permanent equity stakes; Consortium Agreements focus on project contributions and profit-sharing
• Management Control: Founders Agreements define ongoing corporate governance; Consortium Agreements typically outline project-specific decision-making processes