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The Management Team

It is important that the founding team be staffed by people with experience in technology and business. This is one of the main reasons why success stories of companies established and managed over time by only one entrepreneur are rare. In most cases, even when the venture has only one entrepreneur, he quickly gathers around him a core of people in order to promote the idea from its initial stages. Investors regard the team as the greatest asset of a young company, and often prefer an excellent team with a mediocre idea, over a mediocre team with an excellent idea. If recruiting a full team in the preliminary stages proves difficult, it is possible to obtain people's consent in principle, to join the company, if and when it manages to secure financing or meets certain initial targets. Many investors understand and accept such agreements. It is also important that an agreement with respect to the division of shares in the future company—according to the anticipated added value that each founder will contribute to the venture—be reached in the early stages. It should also be kept in mind that investors may assist in completing the team, and their potential contribution to the consolidation of the team should be taken into account.

The composition of the initial team changes from one company to another, but such a team generally comprises the following positions:


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