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.

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