Depending on the founder team, each of these contributions will have a different weight.
Issue convertible debt or a series seed preferred stock for any initial capital contributions, treating it the same way you would a seed investor.

What value is everyone bringing to the table?

Any prior business experience a founder has in building a company should be given more weight when dividing equity.
For most First-Time founders this is a tough sell. Other Non-Business or Non-Technical founders will see this as unfair. 
If a startup fails because the business didn’t grow and execute on the idea, 50% of nothing is zero. If a startup fails because the business didn’t grow and execute on the idea, the business founder should be allocated more equity.

Who has experience running a business?

Lastly, other things you’ll want to consider include: 
<ul>
<li>Equity for board members and advisors </li>
<li>What should happen should an additional co-founder be added </li>
<li>Creating a partnership agreement that also includes rights of first refusal. Founders can buy back equity shares should a founder leave.</li>
</ul>

Other recommendations

The five different elements in the Founder’s Pie Calculator are:
<ul>
<li>Idea</li>
<li>Business Knowledge</li>
<li>Domain Expertise</li>
<li>Commitment and Risk</li>
<li>Responsibilities</li>
</ul>

Is there a formula to follow?

Helpful questions to ask about commitment:
<ul>
<li>Is everyone in it for the long-haul?</li>
<li>Will we all work on this full-time or is this a side gig?</li>
<li>What happens to our equity if our commitment level increases, decreases, or one of us leaves?</li>
</ul>
Make sure the founder’s shares vest over a period of time (usually four years) and include clear guidelines within the partnership agreement for what happens to a founder’s share should they quit, are forced out, or leave voluntarily.

What is everyone’s commitment?

A lot of the equity conversation comes down to "control" of the business. 
Will everyone get an equal say?
How will decisions be made amongst us?
Will you get the resources you need to execute on your ideas?
There are more than one ways to make someone feel valued beyond equity. Give everyone an equal ability to contribute, making sure that the final equity decision you come up with makes everyone feel valued for what they rbing to the table.

Making sure that everyone is happy with the end result

A go-to guide, for entrepreneurs for building a company from the ground up.

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How To Build A Company

Follow this formula and make the equity conversation about each founder’s value, contribution, and commitment level. Nearly 40 percent of startup teams spend a day or less agreeing on their equity…