[neom]

If you don’t sell him something back you may very well render the startup unbuildable. Double digit dead weight founder equity sitting on the cap table will make it in my opinion, almost impossible for your co-founder.

If you have little to no SaaS revenue and it's a software business, you should think about that too. Consulting revenue and grants are almost meaningless in the context of SaaS from an investor perspective.

[skeeter2020]

This comment was kind of buried but holds the key: not what you want but what your cofounder and the company needs. I'm surprised they offered to leave you any equity; comments about "it should be more" are not aligned with how companies operate. You can be a founder of an active or a dead company, but once you leave you may have "helped found" but you are no longer a founder.

Personally I would push for more cash comp and give up all equity. If the company is worth anything your former cofounder can finance your buy-out.