[y7]

This only works well if the parties have equal access to that kind of cash. Otherwise you might get into a situation where the richer founder can just decide to buy the other founder out at a price which is unfair but still beyond their cash means.

[hvidgaard]

That assumes that the founders have enough intimate knowledge of the other founders personal financial situation. They clearly risk becoming a victim of it them if the other founder can find enough money.

If a company is clearly worth more than the offer, finding outside investment or even traditional financing through the bank shouldn't pose that much of an issue.

[blfr]

With enough time, the other founder can find outside investment.