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