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How to Work with Lawyers at a Startup

Both Sides of the Table

Forget to get around to setting up that Employee Stock Option Plan and want to be able to give the early guys their options at a low strike price? They usually ask for warrants (basically like a stock option) in exchange for taking a deferred fee. Shame about that pesky FAS 157 ruling. Good people and evil people.

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Twitter Link Roundup #91 – Small Business, Social Media, Design, Copywriting, Marketing And More

crowdSPRING Blog

5 Mistakes You Can’t Afford to Make with Stock Options – [link]. Google In Early Testing of Cost-Per-Lead “Communications Extensions” in AdWords – [link]. Website Traffic or Conversions: Which Is More Important? – [link]. crowdSPRING’s Small Business Spotlight of the Week: Manor Works – [link].

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Don’t Cede Control: Why You Need to Cut out Middle Men in Negotiations

Both Sides of the Table

When they rep you, the marginal cost of them trying to get you a slightly better deal is high for them relative to settling and moving on. On balance I usually prefer to recruit people from my network both in terms of saving costs as well as hiring people I know & trust. Bankers & PR firms have multiple clients.

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Should You Share Equity with Consultants?

www.inc.com

Before Roving Software could receive its first round of financing from professional investors, in early 1999, he had to put all the stock arrangements in writing. That cost him accounting fees, legal fees, and time because the financing round couldnt close until the arrangements were formalized. Consult your lawyer for details.

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Beware The Consultant

infochachkie.com

For instance, many a BDC CEO has initiated a consultant to study cost cutting issues before announcing a significant layoff. For instance, if a consultant proposes to help you with public relations, pay them a commission equivalent to the greater of a flat fee per story placed or a percentage of revenue generated from the PR coverage.

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Forcing Functions

Eric Friedman

Here are a few I have seen work: PR Opportunity – for the LargeCo. The moves I have seen work here are: Fundraising Event – something is happening on the valuation of the company and you can get someone to start before a third party mark of the stock options/RSU package offered. and they move at a glacial pace.

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Smart Bear Live 8: Edwin from MeetingKing.com

A Smart Bear: Startups and Marketing for Geeks

You may call it employee number one with a really low salary and really generous stock options and as the company grows, you’ll fix their salary. Edwin: Yeah, one of the challenges is that meeting cost is not a separate line item on the P&L statement so nobody attacks it. Maybe that’s one way to go, right?