Understanding Relationship as an Entrepreneurs
There are three things you should consider when working with other entrepreneurs.
First, start by understanding the context of the relationship and what you both hope to gain. Are you both putting some actual cash in to start? If you are and they aren’t, then they are a vendor, not a partner — you are investing and taking all the risk.
Second, don’t buy into the line that they are leveraging company resources to move the project forward. This might be true but it is not the same because they already have that resource earmarked as a salary expense and would occur regardless of your joint project. In this scenario, you should ensure that the split you receive reflects the risk that you are taking.