article thumbnail

Legal Checklist for Startups

Scott Edward Walker

Button-down IP ownership and assignment issues (see post here ). Only raise funds from “accredited investors” (see post here ) and don’t pay anyone a commission for raising funds for you unless they are a registered broker-dealer (see post here ).

article thumbnail

If I Launched a Startup

The Startup Lawyer

4) Type of Shares: Common Stock. (5) 10) Consideration for Founders Shares: Cash & IP. (11) 11) Handling of “Lost Founders&# : Lock Down the IP. 3) Investors: Accredited Investors. (4) Here’s what I’d do in the beginning: Incorporation. (1) 2) State of Incorporation: Delaware. (3)

Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

If I Launched a Startup

The Startup Lawyer

4) Type of Shares: Common Stock. (5) 10) Consideration for Founders Shares: Cash & IP. (11) 11) Handling of “Lost Founders&# : Lock Down the IP (then Wish Them Well). 3) Investors: Accredited Investors. (4) Here’s what I’d do in the beginning: Incorporation. (1) Hell Yes. (9)

article thumbnail

What Is the “Walker Startup Package”?

Scott Edward Walker

Button-down IP ownership and assignment issues (see post here ). Only raise funds from “accredited investors” (see post here ) and don’t pay anyone a commission for raising funds for you unless they are a registered broker-dealer (see post here ).

article thumbnail

The 5 Biggest Legal Mistakes That Startups Make

Scott Edward Walker

Mistake #2 : not buttoning-down IP ownership issues (at 10:20). Mistake #5 : not doing your due diligence on potential investors (at 38:36). S corp vs. C corp – “qualified small business stock” . Mistake #2: Not Buttoning-Down IP Ownership Issues. Rule #1 : only sell “securities” to “accredited investors” – why? (i)

article thumbnail

The 5 Biggest Legal Mistakes That Startups Make

Scott Edward Walker

Prior to the event, I conducted a legal workshop entitled “The 5 Biggest Legal Mistakes That Startups Make,” which I have uploaded below. i) Rule 506 preempts State law, which means all you have to do is file a Form D and pay a filing fee; and (ii) no disclosure requirement/PPM Possible to sell to “friends and family” (e.g.,

article thumbnail

Knowledge Is Power: Convertible Note Financing Terms, Part V

Gust

Common examples include papering founders’ stock issuances, catching up on Board minutes, and ensuring that all members of the team have entered into IP agreements with the company assigning rights in their work to the startup.

Finance 79