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A co-founder agreement prepares partners for potential worst-case scenarios, ensuring that friendships can be maintained even if the business relationship doesn't work out. It acts like a pre-nuptial agreement for co-founders. This video, presented by startup lawyer Feijo, discusses the purpose of a co-founder agreement, essential terms to include, and the lifecycle of such an agreement. Co-founder conflicts are a significant reason startups fail, so understanding and formalizing these agreements is crucial. The co-founder's agreement is akin to a short form shareholder agreement, which is important as many startups engage in fundraising that delays share issuance until a specific price event.
