To Have Or Not To Have A Co-Founder.

To bring on a co-founder or not to bring on a co-founder. Isn’t that really the question that every solo founder ask themselves a million times during their start-up journey?

If you are raising investor capital, you might have heard from several investors that they prefer you to have a co-founder.

Like with any decision in life, there are pros and cons. So let’s talk through some of them and see if it helps you make a decision.

Benefits

1. You have a partner in crime, who is walking on the same journey as you. You are in the trenches together as you build your company. Let’s face it, it can be lonely as a founder to have someone to talk to and bounce ideas off of can be invaluable. You can only talk to your team about certain things, they will never understand what it is like to be a founder, but your Co-Founder will know.
2. A co-founder can bring experience and expertise to the table that you don’t have. For example, if you have a tech company but not a tech background you want to really consider getting a technical co-founder. In this instance it is usually a non-negotiable for investors.
3. Co-founders can help you with your fundraising efforts. Another thing that you don’t have to do alone. Unless you hire an amazing Pitch Strategist (shameless plug).
4. If you don’t see yourself being the CEO long term. You might want to hire a co-founder that is CEO material and you take on a role that is better suited for you.

The Drawbacks

1. The biggest one is that you will have to give up ownership in your company and that can be hard when it’s your idea, your baby they are getting a piece of.
2. It is hard (not impossible) to sever the relationship if things don’t go well. A co-founder relationship can be like a marriage. If there is an end you don’t want it to be messy.
3. You have another cook in the kitchen. And that can be hard if you are used to running the show and want your decision to be final.

Both lists could be longer, but we don’t have all day. And I’m sure you don’t want to spend your day reading all of this.

The biggest thing is no matter what, you really think through if this is the right step for you.

If you do decide to bring on a co-founder here are a couple tips to help make things easier on both of you from the beginning.

1. Set boundaries right from the beginning. What are you each responsible for/own. Don’t step on each other’s toes. You each have say over your identified areas of the business.
2. Make sure that you don’t give them 50% ownership. Hold onto majority. Also think about what will happen to your ownership if you take in investor money.
3. Have an out clause if things don’t work out. You don’t want to go through a long founder divorce.

Know that the decision you are making, what ever that ends up being, is the best decision for your company and that you don’t come to it lightly.

This is you becoming the CEO that you are.