---
name: founder-prenup
description: Use before starting a company with co-founders, when bringing on a new co-founder, or annually as a relationship health check to prevent the 65% of startup failures caused by co-founder conflict
---

# The Founder Prenup

## Overview

A set of critical discussion topics for co-founders to align on **before** starting a company (or to revisit periodically). Designed to prevent the **65% of startup failures** caused by co-founder conflict.

**Core principle:** Assume nothing. If you act based on your values and they act based on theirs, you'll think they're acting strangely—but they're just being themselves.

## The Alignment Checklist

```
┌─────────────────────────────────────────────────────────────────┐
│                    FOUNDER PRENUP CHECKLIST                     │
├─────────────────────────────────────────────────────────────────┤
│                                                                  │
│  ☐ VALUES CLARIFICATION                                         │
│    List top 3-5 core values and compare.                        │
│    (Excellence vs. Work-Life Balance?)                          │
│                                                                  │
│  ☐ VISION OF SUCCESS                                            │
│    Define the end game. (IPO? Acquisition? Freedom?)            │
│    One wants massive venture outcome, one wants "small shop"?   │
│                                                                  │
│  ☐ CONFLICT STYLE                                               │
│    How do we argue? (Seething in silence? Exploding?)           │
│    How quickly do we need resolution?                           │
│                                                                  │
│  ☐ DECISION PROTOCOL                                            │
│    When we disagree, who decides?                               │
│    (Vote? CEO final? Domain expert?)                            │
│                                                                  │
│  ☐ CULTURE DEFINITION                                           │
│    Results-driven vs. Family-feel?                              │
│    Speed vs. Consensus?                                         │
│                                                                  │
│  ☐ OPERATING STYLE                                              │
│    Communication preferences and pet peeves.                    │
│    Working hours expectations.                                  │
│                                                                  │
└─────────────────────────────────────────────────────────────────┘
```

## When to Use

| Timing | Purpose |
|--------|---------|
| Before incorporation | Foundational alignment |
| When adding co-founder | Prevent future conflicts |
| Annually | Relationship health check |
| During tension | Structured de-escalation |

## Red Flag Misalignments

| Topic | Co-founder A | Co-founder B | Risk |
|-------|--------------|--------------|------|
| End Goal | IPO | Lifestyle biz | **Critical** |
| Work Style | 80hr weeks | 40hrs max | **High** |
| Decision | Consensus | Dictatorial | **High** |
| Conflict | Avoid | Confront | **Medium** |

## Common Mistakes

- **Assuming alignment** because you're friends
- **Avoiding the conversation** because it feels awkward
- **Not revisiting** as the company evolves

## Real-World Example

Two co-founders realized too late: one wanted a massive venture outcome, the other wanted a small shop where they knew everyone's name. The painful split could have been avoided with this conversation upfront.

---

*Source: Alisa Cohn (Executive Coach, Thinkers50 Top Startup Coach) via Lenny's Podcast*