What is a Treaty?
When you hear the word “Treaty” you might think of the negotiations that lead to the end of a war.
A Treaty in our terms, is the moral obligation to a commitment made between incubator.coop Members and not a legal obligation.
The power of this Treaty is in its record of events. A Treaty is not an Agreement, instead it aims to describe ongoing negotiations at a given point in time.
Members at a future date in time, can transform a Treaty into an Agreement that mirrors the Treaty terms.
A condition of your Membership within incubator.coop is that you will uphold commitments which you make with other Members.
Incubator.coop reserves the right to levy fines on Members that break a Treaty and in some cases breaking a Treaty can be grounds to expel Members for failing to comply with the Co-operative Rules that enforce Membership.
How Can You Use A Treaty?
1. Project to Founder Treaty – In a conventional startup the founder starts with 100% of the equity and uses this to engage investors, co-founders, advisors and employees to build the business. Co-ops don’t work like this. With a Project to Founder Treaty you can articulate a founder’s reward that works for founders and members.
2. Project to Volunteer Treaty – Volunteers don’t need payment but clearly establishing expectations for both sides to this Treaty is essential to good community development.
3. Project to Professional Service Provider Treaty – Co-ops in their early days can struggle to engage professional service providers because they don’t have equity to share. This Treaty provides an at-risk and deferred option for payment of service providers that is fair for everyone.
4. Project to Mentor Treaty – Engaging with experienced mentors over the startup and scale up phase of a co-op is critical to the success of co-op ventures. This Treaty enables a co-op to provide a fair reward for the value provided by mentors.
When Can Your Project Start Making Treaty’s?
We expect by the end of the month (June 30th 2018) to have 4 Treaty types in a format that Members can use.
We will use this MVP version of the Treaty to gather real world use cases and feedback. Most likely we will then move a blockchain version of a Treaty over the coming months