Hello,
A friend of mine started a mobile app startup in 2014 and I was the first investor in september 2016 (love money). They have been part of an incubator (him and his co-founder) since the beginning where they get free coaching. When I invested, my "friend" made me do all the paper work for the contract and I chose a Simple Agreement for Future Equity (S.A.F.E.) from Y-combinator's website (it's like a convertible note).
This "friend" can no longer be part of my life as he is controlling and condescending and it's making me anxious and depressed.
They have been cash-flow positive since year 2 and are now expending from my current city in Canada to a city in the U.S. where they already managed to find a partner. I think that year 4+ is when things will start to get very interesting.
They never do board meetings so if I end the friendship I'm afraid that I'll be cutting myself from the startup as the only updates I get is when I chill with my "friend". I know that ending this relationship is what is best for me but I don't want to sabotage my investment. Any thoughts?
I own the original copy of our SAFE agreement, which turns my investment into equity as soon as they get funding from a real investor, but I'm not sure if that's enough to protect myself if things gets nasty (Who can I talk to for that?).
Are they any protective measure I should take? Should I talk to a lawyer to see if my contract is credible enough?
Sorry for the long post, thanks a lot for reading.
EDIT: Link to my contract:
http://www.ycombinator.com/documents/
I have the one with discount and cap.