What are the common causes of co-founder conflicts?
One of the biggest issues from founder or co-founder disputes involves how the parties initially set out to operate the company compared to how it has evolved into its current state.
At the early stages of any venture or start-up, the roles of the various founding members may be quite ah-hoc and informally organised. As the start-up grows to a size where more structure is required, disputes may arise if there is a divergence of the organised roles and responsibilities of the founders compared with what they were expecting. These conflicts will result in the founders disputing what their actual shareholding is worth, what capital contributions have they made, and what rights and roles should they be entitled to.