Well done Brett. Some great stories. I too have been fired from a company I once founded (by the new management that the vc brought in). And also had to fire two founders from other companies I started for the reasons you outlined here. It’s not fun and a huge distraction but better for all once it’s been done. The discomfort lifts almost immediately after handling the issue.
Hi Brett, thanks for sharing this. I was wondering if you missed the shares part? How best can you do to take back his shares as well in the most appropriate way? Especially when his vesting is almost complete but the cliff period is yet to be passed.
Hi Brett, thanks for sharing! My question also, what if I did fire my co-founder and there was no cliff stage yet! And he is holding onto his 10% share? Now I am stuck with a non active shareholder!
Thanks for this video. Would you change anything if you were talking to a founder of a very early-stage company? No VC funding, no one is vested yet, etc.?
Well, if no one has vested anything, that makes it easier because the founder that is leaving doesn't get any equity. That's the idea behind having a cliff in your vesting plans. It protects you.
@@BrettFoxstartupceo That's what our thought was too, but an attorney I had a consult with (before hiring a different one) said something about contracts being unenforceable if the person has done SOME work but isn't compensated for it. I chalked it up to him not being familiar with vesting terms and cliffs.
Hi Peter, It's the same drill. I am assuming you are the CEO. I would let the other board members know what you're planning on doing. The board should back you, not the co-founder, assuming the board has its head screwed on right.
