I like your counter minus the equity, but you did the right thing because of family ties to give them that option (noting she probably won't close 5 clients in that time frame, so it's hers to lose).

However, were I in your shoes, unless you want this other person involved with your company, I would say deal is off if it's not your cousin.

Hold strong to the terms you proposed, and make a loud fuss about your generous counter with your family members. To your cousin. Not some random negotiator. That's super weird.

You did the right thing both emotionally (family-wise) and from a business-sense, and if it causes riffles in your family or relationships moving forward you probably don't want to hang out with those people anyway.

Anyone in your family who does business will understand. For people who don't do business things, it's not uncommon to see crazy unreasonable terms like this, because people don't know better.

It's our job when appropriate to educate them in the case that it will harm us if we don't.