The Software Patent Problem
I always advise software startups to file patents to protect their “secret sauce” from competitors, and to increase their valuation. The good news is that a patent can scare off…
I always advise software startups to file patents to protect their “secret sauce” from competitors, and to increase their valuation. The good news is that a patent can scare off…
Although every startup is unique, there are certain common avoidable mistakes that can lead to legal complications which jeopardize the long-term success of the business. I’m not suggesting that every…
Entrepreneurs often get the advice from their lawyers and friends to always get a Non-Disclosure Agreements (NDA or CDA) signed before disclosing anything about their new venture. Most investors and…
If you are just plain tired of working so hard, or your startup is not getting the traction you expected, should you shut down cleanly, or just file for bankruptcy…
If your startup is great enough to get a term sheet from angel investors or a venture capitalist, the next step for the investor is to complete the dreaded due…
One of the first tough decisions that startup founders have to make is how to allocate the equity among co-founders. A seemingly easy solution to this problem would be to…
In reality, so-called “founder’s” shares are simply common stock, issued at the time of startup incorporation, for a very low price, and normally allocated to the multiple initial players commensurate…
It used to be true that “everyone” was incorporated in Delaware due to its business-friendly laws, but many of these terms simply don’t apply to startups, or the differences don’t…
Remember a term sheet agreement is not a deal until the check clears. Entrepreneurs sometimes assume an initial agreement with an angel is a commitment, so they start spending before…
Many entrepreneurs work with "finders" who promise to help them attract investors, usually in exchange for a large monthly retainer and a percentage of the capital raised. More often than…