How can I raise investment while protecting founder rights?

Founders should execute a comprehensive Founders' Agreement at the earliest stage of the business. This agreement generally defines ownership percentages, roles and responsibilities, capital contributions, decision-making authority, vesting of shares, intellectual property ownership, confidentiality obligations, dispute resolution mechanisms, and exit provisions.

Depending on the business, founders may also require Shareholders' Agreements, Employment Agreements, Non-Disclosure Agreements (NDAs), Intellectual Property Assignment Agreements, and Investment Agreements when raising funds.

Having proper legal documentation at the beginning helps prevent future disputes and provides clarity regarding each founder's rights and obligations.

Disclaimer: Every startup has different legal requirements. Agreements should be tailored to the specific business and drafted by a qualified legal professional.