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4 Deadly Legal Mistakes That Startups Make

Scott Edward Walker

(And please don’t tell us to hire a lawyer.) Vesting Restrictions. The first deadly mistake relates to vesting restrictions. IP Ownership. There are three deadly mistakes that relate to intellectual property (IP) ownership, all of which usually surface when the investors conduct their due-diligence investigation: 1.

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Opinion: It’s a startup world

NZ Entrepreneur

experiments to build a product, find customers, test business models and hire amazing people. It is not uncommon for startup directors to be more deeply involved in the operations of the business when the company is entering a new market, hiring critical team members or raising capital. This equity will vest over 2-3 years.

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4 Different Lawyers That Entrepreneurs Need

The Startup Magazine

As you are forming your new business, creating new products and hiring new employees as your company grows developing new materials, you will encounter scenarios where you need to create, review, and sign contracts. Therefore, it’s often a good idea to hire a contract lawyer to have on retainer. Contract Lawyer.

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6 Ways For Startups To Reduce Operating Costs

YoungUpstarts

Hire Freelancers and Contract Employees. These solutions typically shave off overhead costs by simplifying IT management processes, and combining traditional phone and Internet service into a single online connection using an existing IP PBX system.

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Making Decisions in Context

Austin Startup

Hiring is a chapter unto itself, but it deserves to lead off any discussion of context. Compensation decisions obviously affect hiring and retention. You can’t be too careful in determining comp packages for your new hires. Your best defense against slippage is making the right hires in the first place.

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Legal Checklist for Startups

Scott Edward Walker

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 ). If you hire any employees, make sure you don’t misclassify them as an independent contractor or fail to pay them at least the minimum wage (see post here ).

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Startup Lessons for the Proto-Founder

www.metamorphblog.com

We hired three guys from that batch and paid them in iPhones. Treat everyone you hire like a co-founder. It builds trust and earns buy-in from the people you hire. When you’re hiring folks, don’t promise equity upfront. Vest, young man. Need to learn about IP, patents, etc.? Try before you buy.

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