Your step-by-step guide to securing your EF funding using SeedLegals.
Now that you’ve formed your team and passed the EF Investment Committee, it's time to set up your company on SeedLegals and receive your funding. EF will have added you and your cofounder(s) to a team and your company will now be waiting for you on SeedLegals. Just hit the dropdown list of companies in the top left to switch from Entrepreneur First Operations to your own company. Then from ‘Cohort Portal’ all the next steps will be laid out for you.
1. Create your Cap Table: EF companies will need to have 800,000 shares in total, split 50/50 between the co-founders. Here’s how to set that up:
Choose Ordinary Shares
Make sure the shares have voting and dividend rights
Make sure you and your co-founder are the only shareholders
Give you and your co-founder 400,000 shares each
Set the nominal value to £0.0001 per share
2. Add your company’s bank details: head back to ‘Cohort Portal’ and click to add your bank details. (if you don’t have an IBAN or SWIFT don’t worry).
3. Sign your founders service agreements: you will need to sign your co-founder’s agreement on behalf of the company and you will need to sign your own agreement in the presence of a witness.
When you sign your own agreement you will be asked for your witnesses details. Don’t worry if you aren’t sure of these, your witness will be able to add / correct these later.
Now you can either copy the url to share with the witness, or open the witness page in a new tab.
All the witness needs to do is check their details, sign in the space provided and hit ‘submit’.
4. Create your investment agreements: hit create in the bottom corner of the card to generate each document.
In order to create the Board Resolution you will need to choose who chaired the meeting. Neither of the directors should be absent.
5. Sign your investment agreements: only the documents listed below require signatures.
Service Agreement - must be signed by the both founders on behalf of themselves and by a director on behalf of the company
Convertible Note - must be signed by both founders on behalf of themselves and by a director on behalf of the company
Shareholders Resolution - must be signed by all shareholders (normally just the founders)
Board Resolution - must be signed by one director on behalf of the company
Whenever you are logged in to SeedLegals you can see all the documents that require your signature within ‘My Documents’
When your documents are fully signed please reach out to firstname.lastname@example.org.