Becki DeGraw on founder vesting, advisor equity & the 4-term-sheet play

The gist

1. Founder vesting is typically 4 years with a 1-year cliff, but founders with strong traction like $3M+ ARR can negotiate shorter or no vesting.
2. Set up vesting schedules between co-founders even before raising outside money to protect against a partner leaving early.
3. Tie advisor equity to specific, measurable milestones and include a 7 to 14 day termination notice so equity stops vesting when value stops.
4. Having 3 to 4 competing term sheets lets you push on vesting length and board terms without damaging relationships.