November 19, 2018  
 
  Articles for Entrepreneurs  
 

Employment Agreement

 

 
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Definition of Employment Agreement

An employment agreement is an agreement whereby key employees agree to remain with the business for a specified period of time under certain conditions.
(Definition continues below)

Most senior-level or highly valued employees in a startup venture will have an employment agreement that defines the conditions of their employment. For juniour employees, no employment contract is necessary.

Employment Agreement References On This Site

These Gaebler.com articles mention this glossary term:

  • How Equity Dilution Works - Understand stock dilution before you sign your employment agreement and you'll be happy you did...
  • Key Factors to Consider When Buying a Business - Be sure to carefully review copies of the business's certified financial records, including cash flow statements, balance sheets, accounts payable and receivable, employee files, including benefits and any employee contracts, and major contracts and leases, as well as any...
  • Financing the Company - If you promise inventors or early investors a significant royalty percentage, what will be left for later investors that finance the bulk of the research? Similarly, employment agreements with significant termination packages may deter future investors, as...
  • Obtaining Funding From a Venture Capitalist - Management should be able to turn over the key contracts for the business, as well as important employment agreements...
  • Key Factors to Consider When Buying a Business - Be sure to carefully review copies of the business's certified financial records, including cash flow statements, balance sheets, accounts payable and receivable, employee files, including benefits and any employee contracts, and major contracts and leases, as well as any...
  • Financing the Company - If you promise inventors or early investors a significant royalty percentage, what will be left for later investors that finance the bulk of the research? Similarly, employment agreements with significant termination packages may deter future investors, as...
  • How Equity Dilution Works - Understand stock dilution before you sign your employment agreement and you'll be happy you did...
  • Obtaining Funding From a Venture Capitalist - Management should be able to turn over the key contracts for the business, as well as important employment agreements...

 

 

 

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