Document background
The Founders Collaboration Agreement is essential when two or more individuals or entities come together to establish a business venture in India. This document is typically prepared before or during company formation and serves as the cornerstone of the founding team's relationship. It addresses crucial aspects such as equity distribution, roles and responsibilities, decision-making processes, and intellectual property rights, while ensuring compliance with Indian legal requirements, particularly the Companies Act 2013 and relevant commercial laws. The agreement is especially important for startups and new ventures where clear frameworks for collaboration and dispute resolution are crucial for long-term success. It provides protection for all parties involved and helps prevent future misunderstandings by clearly documenting the founders' intentions and agreements.
