BUILDING A TEAM
Watch: Why Do You Need A Cofounder?
A STRONG MANAGEMENT TEAM
An ideal management team has relevant experience and domain expertise. They understand industry dynamics, are coachable, and are fully committed to the business. Teams should have a focused plan and should be able to demonstrate that they have the ability to execute. Management teams should utilize pro forma financial statements to set realistic goals and benchmarks, and they display a history of achieving projections and obtaining critical milestones. We would like to see that they are realistic about their company's critical risks and valuation. If the team is incomplete, it should recognize who is needed to complement their knowledge, skills, and abilities.
Slicing the Pie: Fund your Company without Funds provides a simple model to help founders properly slice the equity pie so each founder receives what they deserve. The framework is dynamic; it adapts over time to re-allocate the equity so that the distribution stays fair until the fledgling company takes flight. (Overview) (Buy The Book)
How to Split Equity Among Co-Founders by Michael Seibel