The allocation of shares is always an individual process and not some standard. But there are frequent "red flags" - how not to do it.
- Don't divide precisely 50%. Someone should have 50%+1 share - that person will be the final decision maker. Otherwise, there will be a blocking situation in case of disputes. And sooner or later, you will have to put one in charge because investors don't like 50/50.
- If there are three of you? You can split 33%, 33%, and 33%+1. In this case, the division is more proportional, but there are often problems with that. Everything may be okay if you have known each other for a long time. Otherwise, such a division of shares may be a problem in the future.
- A more stable system is obtained when one funder starts a startup and finds a team of co-founders. In this case, one person understands how everything should work, and there are some purposeful agreements.
- What ways to divide the shares if you do not separate them into equal shares? For example, you could split in proportion to the amount of workload. If all the funders work on the project part-time, and one is willing to work full time, he can claim a larger share.
- Another method has already proven itself in several startups. The prominent investor divides the critical tasks of the startup into blocks: development, marketing, and sales. Each block has a specification for 3-4 months and/or a year. Then the funders discuss how much each block is objectively worth. And they divide the shares among themselves, depending on who takes what block. Again, there is a nuance here — you need to reserve some equity a la option for the tasks you forgot to write down in this state.