Ask HN: Diplomacy Tips
I'm a programmer, and I recognize I don't have a very good mind for business. I was recently approached by an old friend of mine about participating in a startup. He already had a business plan, had several investors that were interested, and seemed to know his stuff - so we seemed like a good match to work together. I agreed to work without pay until there was more money, but I was promised 33% equity, maybe 30% since our most promising investor at the time wanted 10%. I began doing the site, but quickly informed them that I would need more details of what they wanted before I could go further, and that I really needed my role to be on paper - I was told that they trusted my ideas, and I should do what I think is best. Within a couple of weeks I found out that there was yet another 'partner', and my share was down to 20%, and even more frustrating - I kept being told conflicting things about what they wanted in the web-app, and being told that what I had done wasn't what they wanted. As politely as I could, informed them that I was happy to work with them, but would be unable to do any further work until my role was on paper, and my compensation/ownership was satisfactorily defined. I left it for a couple of weeks, understanding that they've been busy finishing school, etc... I was told that when this semester was over, we would sit down one day, incorporate, and I could ask for all the specifications I wanted. In the mean time, I specifically told them that until we had an agreement, the code was mine, and it would be wise for them to assume they had no code until I had specifications and owned something. I even sent them a contract and said if this is what you want, sign it, if not, I need to know what you want.
I got an email last night informing me that an incubator they applied to had asked for a demo, and they had said, "Yes, we'll upload it!" It's become apparent that 2 of the other partners have done absolutely nothing, no one has put anything paper other than my constant requests to do so, and they have ignored all my messages regarding what needs to happen before we can have a decent demo.
I realize I shouldn't have even worked this long, and I plan on absolute refusal to do anything until this is resolved, but any tips? I'd really like the project to go forward, if nothing else so I have my name on a really cool project with no NDA attached. But I no longer feel comfortable doing business with this group, however they don't seem to understand that if I leave, the code goes with me, no matter how bluntly I say it. Incidentally, they have no physical access to the code - my main problem is how to resolve this diplomatically, and how to do it in a way that the business might have a chance.