Don't even think about it. And tell them exactly why. The team will not survive the stresses of early startup life with this decision put off. It's going to be a hard discussion even now, just imagine how bad this will be with revenue coming in the door, pressure to grow, some members of the team really stepping up and others not working out.

Then they have something to divide. What exactly are they waiting for?

I would not accept a job until this is worked out. They're either evil or naive, and neither are good traits in a boss.

Huge red flag.

And he does until he divides it, regardless of how much work you put in.

It's a barter - each party gives so that each party receives. I see a lot of receiving, but not much giving on their part.

Usually a startup incorporates for the purpose of issuing stock.

The situation at your would-be-company looks questionable, at best.

Run away.

Run Paul Run!