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In the Canadian context, the term is a colloquialism to refer to shares that are issued by the corp to the founders at inception, generally for a nominal amount. It may have a different meaning elsewhere. It’s typically used in that sense to distinguish the shares from shares subscribed for for more than nominal value – for example, by an investor.

One unique characteristic of founder shares that is sometimes employed by startups themselves or imposed when investors buy in is founder stock escrow – essentially, an earn-in period for the founder shares.