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Corporation or LLC? Business Organizations for Tech Startups.

YoungUpstarts

In the tech startup context, you’ll typically choose between a Corporation and a Limited Liability Company (“LLC”). Typically, investors will be interested in “preferred” stock, which comes with special (aka “preferred”) rights, such as receiving a certain payout before anyone who holds “commonstock.

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Flexible VC, a New Model for Companies Targeting Profitability

David Teten

Our categorization is not a technical one. Additionally, Flexible VC can accommodate all types of companies, not just asset-lite, tech-enabled companies.”. Eligible for favorable treatment under Qualified Small Business Stock exemption, if structured as equity. Technology-centric businesses. Technology-centric businesses.

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Dear Founders: Here Are Three IP Mistakes to Watch-Out For

Scott Edward Walker

Accordingly, legal counsel must review all of the written agreements between the founder and his prior employer (as well as the employee handbook/manual) to determine if there are any provisions that may give the prior employer rights to the startup’s IP. . This is why it is critical that IP issues be addressed early on. Conclusion.

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How to Form a Corporation

Up and Running

It’s common to feel a bit lost or overwhelmed at this stage, but with this guide, you’ll gain confidence in your ability to create your new business entity and get back to the work you love. We’ll review some new language and concepts in this process, but once you’re done, you may never need to think about this stuff again. .

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How to Fund Your Startup Without Losing Control

Up and Running

They allow you to hire more people, purchase new technology, and establish new business connections, among many other benefits. Proposed private equity deal: Eventually, this business will require private equity to provide sufficient funding to develop some of the more robust aspects of the technology that will attract Fortune 500 clients.

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Comparing Startup Accelerators

Austin Startup

More traditional and comprehensive programs often require 5–8% of common stock, but often provide between $20K and $100K up-front as well. One of the most common complaints I’ve heard from entrepreneurs, after having gone through an accelerator, is that it wasn’t helpful for their “type” of business. Anti-Dilution.

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Cliff Notes S-1: Kayak ? AGILEVC

Agile VC

AGILEVC My idle thoughts on tech startups. Now that Google’s acquisition of ITA is closed, following lenghty FTC review, it would appear Kayak is poised to proceed with their IPO in the coming months. =. One can infer valuations based on per share prices of preferred stock and oustanding common shares (~5.3M