Ask HN: How to structure / split up new venture between co-founders
I am technical and have found a non-technical partner who owns a legacy SaaS business (let's say $300k ARR).
In short, we want to rebuild the legacy product and relaunch as a new product, while gradually cutting over existing clients and gaining new clients. The end goal would be to deprecate the legacy product and close it down.
We both want to split this new venture 50-50, however it is difficult to separate the legacy from the new business. And the legacy product has to continue to operate while the new one is developed.
Does anyone have any advice or experience on how structuring a split might look? If we start a new company, how hard is it to share assets/IP/clients from the legacy company? Should we create a subsidiary of the legacy company? Should we just keep it all in the legacy company and figure out how to grant equity to that existing company?
In short, we want to rebuild the legacy product and relaunch as a new product, while gradually cutting over existing clients and gaining new clients. The end goal would be to deprecate the legacy product and close it down.
We both want to split this new venture 50-50, however it is difficult to separate the legacy from the new business. And the legacy product has to continue to operate while the new one is developed.
Does anyone have any advice or experience on how structuring a split might look? If we start a new company, how hard is it to share assets/IP/clients from the legacy company? Should we create a subsidiary of the legacy company? Should we just keep it all in the legacy company and figure out how to grant equity to that existing company?
Any help is appreciated!