Scott Edward Walker

SEPTEMBER 28, 2011

And please don’t tell us to hire a lawyer.) 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., Vesting Restrictions. code, logo, domain name, etc.)

Vesting 89

Vesting Software Review IP Intellectual Property 89

Both Sides of the Table

JANUARY 21, 2010

You never got around to agreeing exact equity splits but you had many conversations about it. Shame about not getting it in legal writing that you owned the original IP. 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?

Southern California 318

Southern California Silicon Valley IP Stock Options 318

Hunter Walker

MAY 13, 2023

Especially in the early days of mobile/iOS engineering, if you hired strong technical talent into your early stage company, you basically created an acquisition outcome floor. Sometimes you’d even get lucky and receive stock in the acquirer, which was how I gained pre-IPO equity in high growth stars like Pinterest and Facebook.

Early Stage 118

Early Stage Cap Table Acquisition Sales 118

www.greenhornconnect.com

OCTOBER 3, 2011

1) You and your partners have developed IP critical to your business. Intellectual property is the most valuable asset most startups possess, so it is crucial that the startup, not the founders, own IP developed for the business. 2) You’re hiring employees. 2) You’re hiring employees.

IP 40

IP Intellectual Property Limited Liability Company Boston 40

Austin Startup

AUGUST 20, 2017

Hiring is a chapter unto itself, but it deserves to lead off any discussion of context. Compensation decisions obviously affect hiring and retention. 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.

Technical Review 48

Technical Review Software Review Cap Table Securities and Exchange Commission 48

YoungUpstarts

APRIL 18, 2019

Instead of having everyone focus broadly on a universal goal, companies should focus on helping each employee become their best, most productive self. In fact, I invest in an employee performance enhancement company that is pioneering an approach built on this exact philosophy. It provides employees with support, not just a grade.

Cofounder 127

Cofounder Startup Private Equity Equity 127

YoungUpstarts

SEPTEMBER 20, 2016

Think about it – when is the last time a business didn’t benefit from having smart employees or strong customer relationships? An employment offer letter or employment agreement should be utilized when hiring employees. It’s these relationships that, more often than not, make a business successful. Intellectual Property.

Non-disclosure Agreement 100

Non-disclosure Agreement Intellectual Property Non-Compete Cofounder 100

Both Sides of the Table

APRIL 25, 2011

Early in a services business there is usually no profits as the company reinvests in hiring people to grow, but by $20 million in sales the company should at least be pulling in 10% profits (if not more) depending on how much is reinvested. You own the IP you create. That is $12 million in profits over 3 years. But it might not.

Silicon Valley 332

Silicon Valley IP Dividend Finance 332

Scott Edward Walker

NOVEMBER 2, 2011

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 ). Set-up vesting schedules for the founders (see post here ) and file 83(b) elections with the IRS (see #3 here ). None of this is rocket science.

Accredited Investor 111

Accredited Investor Stock Options Delaware Silicon Valley 111

infochachkie.com

SEPTEMBER 24, 2011

Instead of hearing from your long lost third-cousin, you will be inundated with an avalanche of ‘congratulatory’ emails, calls and letters from people who want to relieve you of the burden of your hard-earned equity round. Many such ‘congratulations’ will come from consultants. Pyramid Power.

Equity 40

Equity Silicon Valley Cofounder Technical Review 40

Scott Edward Walker

JUNE 23, 2011

Not only are there key contractual issues that must be buttoned-down (like vesting and IP assignment ), but also there is a minefield of laws and regulations that must be complied with. The most common employment violations are (i) misclassifying an employee as an independent contractor and/or (ii) failing to pay an employee the minimum wage.

Accredited Investor 82

Accredited Investor Sweat Equity Los Angeles Finder 82

Scott Edward Walker

OCTOBER 27, 2015

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 ). We charge a flat fee of $2,000, plus filing fees, for up to three co-founders and it includes unlimited phone calls and emails.

Intellectual Property 40

Intellectual Property Accredited Investor Vesting Delaware 40

VC Cafe

SEPTEMBER 26, 2010

It’s nice to have protected IP, but that will mostly matter later on in the event of an acquisition. I’ve written a post about the need to “Always be closing&# whether it is fundraising, employee/partner recruitment and new customer sales. Patented Technology? Who to raise from?

Elevator Pitch 102

Elevator Pitch Incubator Technical Review Startup 102

Startup Company Lawyer

JULY 20, 2009

If there is more than one founder, the likelihood of an argument about how the equity should be split in the new company increases dramatically. Incorporating a company and issuing stock to the founders will help prevent misunderstandings among the founders about equity splits. Hiring employees or third party contractors.

IP 67

IP Stock Options Preferred Stock Capital Gains 67

blog.simeonov.com

FEBRUARY 22, 2010

This can be a convenient shortcut to separate someone’s status (founder) from their role (employee or contractor or advisor, etc.) It outlines key points of agreement between founders around IP ownership, equity ownership, vesting, etc. The rest of the equity typically vests monthly with no cliff for 3-5 years.

Founder 44

Founder Vesting Agile Startup 44

Both Sides of the Table

MAY 5, 2011

Your highest priority right now is hiring the 1 or 2 people that are going to join your company and make a difference. 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. Seattle has its patrons.

Seattle 317

Seattle Silicon Valley Technical Review Los Angeles 317

VC Cafe

APRIL 29, 2020

The Israeli Innovation Authority (IIA) announced last week an immediate infusion of NIS 500 million (approximately $141 million) to qualifying startups (significant IP, previous funding) and less than 12 months of runway. Source: NVCA , “Startup Ecosystem Faces Capital Crunch over Coming Months” USA – SBA Loans and PPP.

SBA 124

SBA Technical Review Startup 124

maplebutter.com

JANUARY 8, 2013

You are here: Home » Hiring » Crazy! Written By Dan Martell on February 2nd, 2012 | Category: Hiring LeanStartup Marketing Metrics Startup Life | 6 Comments. Ability to hire top talent (A+ talent). you can hire for those. www.elance.com and hire from eastern europe. Maple Butter. Search for: Videos.

Technical Review 44

Technical Review Startup Cofounder Software Review 44

www.metamorphblog.com

OCTOBER 23, 2010

Here’s how the pitch sounds from the engineer’s perspective: ‘For ten whole percent of equity, you will slave away to build a prototype out of my shitty idea, not have any say in the decision-making process…and oh yeah, you could be fired at any point.’ Date for a bit, then split the equity.

Founder 51

Founder Startup Cofounder Vesting 51

grasshopperherder.com

SEPTEMBER 24, 2011

Piercing the Corporate Veil – Sweat Equity Consulting. Some have been as co-founder, most have been as a consultant with the possibility of becoming an paid employee, “as soon as we close our funding round.” If you did, why would you be consulting for sweat equity instead of investing as a VC or for yourself?

Sweat Equity 41

Sweat Equity Equity Cofounder Non-Compete 41

Startup Lessons Learned

JULY 15, 2020

You really want to see how your company treats its employees, treats its customers, treats the environment, taking a longer-term view." You really want to see how your company treats its employees, treats its customers, treats the environment, what's taking a longer term view. That's how they can hire people. Progress was made.

Technical Review 68

Technical Review Software Review Finance Technology 68

Steve Blank

MAY 4, 2009

Every marketing communication hire couldn’t wait to produce the next great ad or PR program. In an IP licensing business, legal and finance are the sharp end of the stick. While this may seem obvious to anyone not in sales and marketing, trust me, in a technology company this is a conceptual breakthrough.

Silicon Valley 126

Silicon Valley RSS Non-Compete California 126

Hearpreneur

OCTOBER 20, 2019

It could be more revenue, hiring clients or launching a new product or service, where setting goals presents a fresh opportunity to achieve different objectives. 8- Stop counterfeiting and IP infringement globally. Have a goal that’s third parties think is impossible? not mine as hairy and big as they may be.

Papua New Guinea 65

Papua New Guinea Hawaii Advisory Board Churn Rate 65

www.vccafe.com

MARCH 11, 2013

IP Location Tools. BambooHR -Â Employee Records, Benefit Information, Payroll Data, etc. find/hire freelancers. hire low-cost international engineering talent. VWorker -Â find/hire freelancers. YCombinator Series AA Equity Financing Documents. Founder Equity Issues. Venture Hacks equity section.

Software Review 53

Software Review Technical Review Startup 53