I developed a web application prototype (with 70% functionality) and validated it with some potential customers. I've around 2-3 investors who are willing to invest to take the application to the next level (complete the remaining 30%, go to market, etc). So should I register a C-Corp and issues shares to them OR should I make them part of the company as co-founders? FYI, they will invest money and I've to take care of the execution.
Definitely a C-Corp in Delaware. You can use the SAFE (Simple Agreement for Future Equity). That's a better version of the convertible note, made by Paul Graham from Y Combinator. You can find it on his personal website.
You should buy the best seller book THE ART OF STARTUP FUNDRAISING by Alejandro Cremades. You can find it on Amazon.
Answered 10 years ago
Access 20,000+ Startup Experts, 650+ masterclass videos, 1,000+ in-depth guides, and all the software tools you need to launch and grow quickly.
Already a member? Sign in