Take Off or Take Down? Understanding the Black Box for Firm Launch Based on Equity Splits

Description

We investigate team dynamics influencing equity distribution decisions in nascent firms and how they impact their decision to incorporate their firm. We follow eight nascent firms enrolled in a university-based incubator over 13 weeks. Employing a multi-method research design, we combine quantitative and qualitative data. Our results show that an increase in team commitment and conflict is critical for successful incorporation, whereas a combination of several different indicators for teams that do not launch. Our dynamic approach adds to the theory on the distribution of equity in nascent startups.

Period	6 Jun 2024
Event title	Babson Entrepreneurship Conference 2024
Event type	Conference
Location	Munich, GermanyShow on map
Degree of Recognition	International