- Total allocated
- 100 %
- Unallocated
- 0 %
- Founders combined
- 90 %
- Balanced?
- Yes
Weighting founder contributions for equity division
The calculator scores each founder against a set of factors such as full time commitment, cash or asset contribution, and who originated the idea, then converts those scores into a weighted total for each founder. Each founder's suggested percentage is their weighted total divided by the sum of all founders' weighted totals, so the results always add up to 100 percent, a starting point for the wider founder equity conversation.
- Commitment: whether a founder works full time or part time on the company
- Capital: cash or assets contributed to the company
- Idea and initial work: credit for founding the concept before others joined
- Role and experience: weight for a founder's specific skills or track record relevant to the business
Founder split for technical and business co founders
Two co founders are splitting equity. Founder A works full time, originated the idea, and contributes no cash, scoring 70 points under the chosen weighting. Founder B works full time, joined later, and contributes 20,000 euros in early costs, scoring 50 points. Total points are 120. Founder A's suggested share is 70 divided by 120, which is about 58 percent, and Founder B's is 50 divided by 120, about 42 percent, though both shares should still be subject to vesting rules.
Most experienced founders round these results to simpler numbers, such as 60 and 40 percent, and revisit the split if someone's role or commitment changes significantly before the next funding round and update the cap table accordingly.
Subjective factors that formulas cannot capture
- The weighting of each factor is a judgement call, different weights produce different results
- The calculator does not account for future contribution, only inputs entered today
- It cannot capture relationship dynamics, trust, or negotiating position between founders
- Vesting should still be applied to any split, since circumstances often change after the company starts
Dividing founder equity: questions that come up
- Is an equal split always a bad idea?
- Not necessarily. Some founding teams choose an equal split deliberately to keep things simple and preserve the relationship, even if contributions are not perfectly equal.
- Should founder equity vest even after a split is agreed?
- Yes. Applying vesting to founder shares protects the company and remaining founders if one founder leaves early, regardless of how the initial split was calculated.
- Can the split be revisited later?
- Yes, many teams agree to review the split after a set period or milestone, particularly if one founder's role or contribution has changed substantially.
General information for founders, not legal or tax advice. Thresholds and rates change, so confirm the current position with an adviser in the relevant country before granting.