Jointly Driven Route
Under the Jointly Driven route of Founders Choice, Founders elect to take the enhanced level of support from Imperial’s Startup Team.
This follows the traditional process of startup formation at Imperial, in which negotiations over founding equity positions begin with a presumption of an equal division of initial equity between the founders and the College.
For a company without any third party interests, this assumes a starting position to negotiations of a 50:50 equity split between the founders and the College. This is the starting position and is subject to negotiation, taking into account that an option pool will also be created to reward founders taking an active role in the company.
As detailed in the list of Enhanced services, the Imperial Startup Team will work with you to crystallise your idea into a commercial business proposition and agree the short and medium term activities the company will undertake (and how it will find funding for them). This, together with the agreed equity split and basic corporate governance structure for the startup, will be laid out in the Memorandum of Understanding (MoU).
The Jointly Driven route follows the process below:
- Founders agree to the Jointly Driven route and to take the enhanced start-up package and sign the Letter of Understanding
- Founders agree with Imperial the Memorandum of Understanding (MoU)
- The Founders select and engage a law firm from the preferred supplier list
- The Founders' law firm will establish a shell company at the appropriate time
- Imperial’s Startup Team will work with the Founders and a recruitment service to identify a management team
- Imperial’s Startup Team and the Founders will pitch to a network of investors
- The founders will finalise the licence agreement with Imperial and investment from the first investor(s)
- The startup will be formed with a negotiated initial equity position and royalty-bearing licence to Imperial College London