Co Founder Agreement Template for Belgium

A Co-Founder Agreement under Belgian law is a comprehensive legal document that establishes the fundamental relationship between the founding members of a company. This agreement, governed by Belgian corporate law and the Companies and Associations Code, outlines crucial aspects such as equity distribution, roles and responsibilities, decision-making processes, and intellectual property rights. It provides a legal framework for managing the co-founders' relationship, protecting their interests, and ensuring clear guidelines for company governance while complying with Belgian regulatory requirements.

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What is a Co Founder Agreement?

The Co-Founder Agreement is a vital document used when establishing a new business venture or formalizing an existing one in Belgium. It serves as the cornerstone of the founding team's relationship, typically created during the company's formation or when new co-founders join an existing venture. This agreement, structured under Belgian law, particularly the Companies and Associations Code, addresses critical aspects such as share ownership, vesting schedules, roles and responsibilities, decision-making processes, and intellectual property rights. It provides essential protection for all parties involved and helps prevent future disputes by clearly defining expectations and obligations. The document is particularly crucial in the Belgian business context, where specific legal requirements and corporate governance standards must be met.

What sections should be included in a Co Founder Agreement?

1. Parties: Identification and details of all co-founders and the company (if already incorporated)

2. Background: Context of the agreement, business concept, and purpose of the collaboration

3. Definitions: Key terms used throughout the agreement

4. Company Formation: Details about company incorporation, structure, and initial capital

5. Equity Distribution: Initial shareholding structure and vesting arrangements

6. Roles and Responsibilities: Specific duties and commitments of each co-founder

7. Decision Making: Governance structure and voting rights for key decisions

8. Intellectual Property Rights: Assignment and protection of IP created by co-founders

9. Confidentiality: Protection of company and co-founder confidential information

10. Non-Competition: Restrictions on competing activities during and after involvement

11. Term and Termination: Duration of agreement and circumstances for termination

12. Exit Provisions: Procedures for co-founder departure or company sale

13. Dispute Resolution: Process for resolving disagreements between co-founders

14. General Provisions: Standard legal clauses including governing law and amendments

What sections are optional to include in a Co Founder Agreement?

1. Investment Terms: Terms for initial or future investment rounds, used when immediate funding is planned

2. Family Involvement: Rules regarding involvement of family members, relevant when family businesses are concerned

3. International Operations: Provisions for international business activities, needed when operating across borders

4. Special Share Rights: Specific rights attached to different share classes, used when complex share structures are needed

5. Employee Stock Options: Framework for future employee stock options, relevant when planning employee incentive schemes

6. Advisory Board: Structure and role of advisory board, included when planning to have external advisors

7. Research and Development: Special provisions for R&D activities, important for technology companies

8. Data Protection: Detailed GDPR compliance measures, essential when handling significant personal data

What schedules should be included in a Co Founder Agreement?

1. Business Plan: Detailed business plan and financial projections

2. Share Vesting Schedule: Detailed vesting terms and timeline for founder shares

3. IP Register: List of existing IP assets brought into the business

4. Initial Budget: Agreed initial operating budget and capital contributions

5. Founder CVs: Professional backgrounds and qualifications of co-founders

6. Company Formation Documents: Copies of incorporation documents and corporate bylaws

7. Technical Specifications: Technical details of the product or service

8. Role Descriptions: Detailed description of each founder's roles and responsibilities

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents

Jurisdiction

Belgium

Publisher

Genie AI

Document Type

Agreement Contract

Cost

Free to use

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