Thoughts on startups by investors that
fund them & entrepreneurs that run them

Blog Archives

Incorporate before pitching to VC’s?

While you will definitely need to be a corporate entity before you can accept funding from any investor (or issue stock options to any employees), the specific corporate status of the venture at this stage is much less important to investors than its functional status. That is, if all you have is a good idea, the reality is that you

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Rookie Cookies: Owning the Batter But Not the Chips

I’ve gotten on my soapbox before about the importance of forming a business entity as soon as there’s a new product or business worth protecting.  The most common messes encountered in my startup law practice involve founding teams that somehow never got the formation done right, including the contributions and assignments of intellectual property to the new company and the

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The Startup Clock Starts When You Incorporate

The official start date for your startup is the date you incorporate the business. This is obviously important for tax purposes, but may also dramatically influence how potential investors, customers, and competitors look at you.

My rule of thumb expectation is that it should take two months to set up the legal entity, six months to finalize the business plan,

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A Startup’s First Steps: What’s In A Name?

Having taken stock of the main legal documents and actions involved in forming and operating a new startup, let’s crack open the “case” (disregarding the warnings about voiding your warranty) and examine a few of the steps, documents and key decisions to be made in getting a new startup ready for business.

Most startup lawyers have checklists (at least in

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Do It Right The First Time, Part II: Visit the Doctor or House Call?

In Part I, I gave a quick summary of the who, when and why of forming and documenting a new startup company. This week we’ll delve into what, exactly, is necessary or desirable to lay a solid legal foundation for a startup to build upon.