Gust

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Do It Right The First Time: Avoiding “Janitorial” Legal Work

Gust

Nevertheless, choosing to defer basic corporate housekeeping items can be disastrous in some circumstances, as when the failure to spend a few thousand dollars on legal fees to clarify IP ownership and equity arrangements comes back to bite a successful company to the tune of millions of dollars on the eve of a liquidity event. Good stuff!

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Do It Right The First Time, Part II: Visit the Doctor or House Call?

Gust

Determine the allocation of equity among co-founders, early employees or other service providers, and future contributors as applicable, as well as the vesting schedule , if any, that will apply. founders’ shares subject to vesting) and IRS filings for most favorable tax treatment of those shares. Newco, Inc.”)

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Bad Notes on VC

Gust

of the time I have no vested interest in having the debate. But founders these days seem strangely unfocused on finance and on terms that could hurt them even though we fought to the death about these same terms 10 years ago. These are all real conversations. I have them all the time. I’m bored of it. Not in my experience. Employment.