Equity IP Revenue Vesting 
Scott Edward Walker
OCTOBER 19, 2020
Over the past six months, my firm has been engaged by a number of startups with significant intellectual property (“IP”) problems. In a couple of cases, the founders played lawyer on their own; in the other cases, the founders either used (i) a Web service that did not address IP issues or (ii) an inexperienced law firm.
Scott Edward Walker
SEPTEMBER 28, 2011
Vesting Restrictions. The first deadly mistake relates to vesting restrictions. And if the departing founder has a huge chunk of equity, it is unlikely that the company will find many sophisticated angels or VC’s interested in investing. IP Ownership. Any IP created or acquired by a founder (e.g.,
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NZ Entrepreneur
SEPTEMBER 29, 2021
Addressing real world problems, they thrive in uncertainty, generating new jobs and new revenue streams in new markets. Remuneration will reflect the stage of the startup but it’s generally at a rate of about $500-1000 a meeting or directors might be paid in equity at about 0.5-0.75% This equity will vest over 2-3 years.
Both Sides of the Table
MAY 5, 2011
A key deal not only helps you raise venture capital but it can help attract employees, garner press attention, help with product focus & importantly drive customer adoption and/or revenue. They’re doing stuff – just not enough. Seattle has its patrons. The neurons aren’t connecting to the startups. Elder Statesmen.
Scott Edward Walker
NOVEMBER 2, 2011
Set-up vesting schedules for the founders (see post here ) and file 83(b) elections with the IRS (see #3 here ). Button-down IP ownership and assignment issues (see post here ). Split the equity based on prior contributions and expectations going forward, not necessarily equally (see post here ).
Both Sides of the Table
SEPTEMBER 18, 2014
Revenue multiple? of the time I have no vested interest in having the debate. “But lawyers will charge much more for equity.” Try doing THAT with equity. How will you price the next round? Your A round? Him: On metrics. We’ll have some proof points by then. What proof points? EBITDA multiple? Employment.
Austin Startup
AUGUST 20, 2017
They’re looking to be paid properly in the context of the overall salary structure, including cash, benefits, and equity, and to be paid commensurate with performance. Set any vesting schedules and expiration dates on roughly similar terms, if for no other reason just so you can track all of them correctly.
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