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Legal Drafting & Documentation

Precisely drafted, enforceable corporate documents that define relationships, protect interests and position your startup correctly from the start.

Scales of justice — legal drafting services
Startup Legal Document Stack
Founders Agreement
Foundation layer — defines equity, roles, IP ownership
Essential
Shareholders' Agreement (SHA)
Governs investor-founder relations post-funding
Pre-funding
Share Purchase Agreement (SPA)
Transaction document for investment rounds
Funding
Employment Contracts
Protects IP, sets expectations for all hires
Ongoing
Vendor & Client Agreements
Defines service terms and limits liability
Ongoing

Founders' Agreement

The single most critical document for any co-founded startup. A well-drafted founders' agreement prevents the majority of co-founder disputes by establishing complete clarity on equity, roles, decision-making authority and what happens when someone exits early.

  • Equity distribution and initial cap table documentation
  • Vesting schedule — time-based, milestone-based or hybrid
  • Role and responsibility definition for each founder
  • IP assignment from each founder to the company (critical for fundraising)
  • Non-compete and non-solicitation obligations
  • Dispute resolution mechanism — internal and external
  • Good leaver / Bad leaver definitions and consequences
  • Decision-making thresholds — day-to-day vs strategic decisions

Reverse Vesting Agreement

Protects the company from the risk of a co-founder departing early while retaining a disproportionate equity stake. Reverse vesting ensures founder shares are earned progressively — aligned with continued contribution to the company's success.

  • Custom vesting schedule design (typically 4 years with 1-year cliff)
  • Accelerated vesting triggers for defined scenarios
  • Good leaver / Bad leaver buyback price formulas
  • Integration with founders' agreement and shareholder rights
  • Board approval resolution and ROC documentation

Shareholders' Agreement (SHA)

Governs the rights and obligations of all shareholders — founders, investors and ESOP holders. This document is essential before any external investment and forms the constitutional backbone of your company's governance post-funding.

  • Pre-emptive rights and right of first refusal (ROFR) on share transfers
  • Tag-along rights for minority shareholders
  • Drag-along rights for majority shareholders
  • Anti-dilution protection (broad-based weighted average)
  • Board composition rights and affirmative voting matters
  • Information rights and periodic reporting obligations
  • Lock-up periods and transfer restrictions
  • Exit provisions — IPO, strategic sale and buyback triggers
SHA Key Provisions Checklist
Pre-emptive Rights
Tag-Along Rights
Drag-Along Rights
Anti-Dilution
Board Rights
Information Rights
Lock-up Period
Exit Rights

Share Purchase Agreement (SPA)

The primary legal document for investment transactions — whether a seed round, Series A or secondary share purchase. A robust SPA defines the terms of the transaction with clarity on representations, warranties and the allocation of risk between parties.

  • Transaction structure — primary issuance vs secondary purchase
  • Conditions precedent to closing
  • Comprehensive representations and warranties from all parties
  • Material Adverse Change (MAC) clause
  • Indemnification framework and liability caps
  • Post-closing covenants and compliance obligations
  • Governing law and dispute resolution (arbitration clause)

Employment Contracts & HR Documentation

Legally compliant employment agreements that protect the company's IP, confidential information and competitive position while establishing fair and unambiguous terms of employment for every hire.

  • Standard employment agreement — permanent and fixed-term
  • ESOP grant letters, exercise notices and lapse provisions
  • Non-Disclosure Agreement (NDA) for employees and contractors
  • Intellectual Property Assignment Agreement
  • Non-compete and non-solicitation clauses (India-enforceable scope)
  • Separation and release agreements
  • Freelancer / consultant service agreement

Vendor, Client & Technology Agreements

Commercial agreements that govern your business relationships — clearly defining deliverables, payment terms, liability limits and IP ownership to prevent costly disputes with clients, vendors and technology partners.

  • Master Service Agreement (MSA) with Statement of Work (SOW)
  • SaaS Subscription Agreement and Terms of Service
  • Technology Licensing Agreement
  • Vendor and Supplier Agreement
  • Website Terms & Conditions and Privacy Policy
  • Data Processing Agreement (DPA) for DPDPA compliance
  • Referral and Channel Partner Agreement

Common Questions

Do co-founders with complete trust in each other still need a formal agreement?
Yes, without exception. A founders' agreement is not a document of distrust — it is a document of clarity. Most startup co-founder disputes arise not from bad faith, but from genuinely different expectations about roles, equity and what happens when priorities diverge. A good founders' agreement anticipates these scenarios and provides mechanisms to resolve them before they become crises. Additionally, institutional investors require a founders' agreement as standard due diligence before any funding round.
Can we use template agreements from the internet?
Template agreements are often poorly suited for actual use in Indian startups. They may not account for Indian contract law nuances, applicable stamp duty requirements, your specific equity structure or the practical realities of your business. Gaps in a template agreement can create costly ambiguity that is only discovered when a dispute arises — at which point legal costs far exceed the original drafting investment. Our documents are tailored, enforceable under Indian law and aligned with your specific business context.
When should a SHA be signed relative to the first investor coming in?
Ideally, before the first investor negotiation — not after. Having a well-structured SHA framework in place gives founders a stronger negotiating position and signals governance maturity to investors. Once investors are at the table, the SHA negotiation becomes investor-driven. Starting with your own founder-friendly template puts you in control of the baseline.

Build on Solid Legal Foundations

Precisely drafted documents that protect your startup today and hold up under scrutiny tomorrow.