Like many entrepreneurs and small business owners, you probably want to run a successful business while protecting your assets, limiting liability, and avoiding unnecessary tax and legal fees. To succeed at this, you’ll need to do two things: (1) determine the entity structure for your business (see our article Choosing the Correct Business Entity: The Basics) and,… Read more »

Your pitch deck arguably is the single, most important document that you will generate in the life of your company.  It is the opening salvo with your potential investors.  It is “the hook” by which you will (or will not) capture the attention and imagination of a potential investor. What does a “perfect” pitch deck… Read more »

Congratulations! You just received an offer to acquire your company.  A serious buyer will present you with a term sheet that covers the basic terms of the transaction.  Do not make the mistake of agreeing to a term sheet without consulting with your lawyer. You can almost always get better terms and circumvent many hours… Read more »

We often are asked by clients about common terms for stock or option grants for advisors. Advisors are typically business or technical people that lend their time and expertise to a company in exchange for equity. Here are some things to consider: 1. Vesting. Vesting for advisor grants is typically monthly without any cliff. I advise clients… Read more »

So you’ve formed a new company, launched a new product/service offering, added a new feature to an existing offering, or maybe your company has been doing business and offering products/services for a while now but you still haven’t considered trademarks.  If so, it could prove to be a costly mistake down the road. What is… Read more »

This article briefly introduces each of the principal business forms, namely corporations, partnerships, LLCs and sole proprietorships. More detailed considerations and strategies in making an appropriate selection can be found in the following articles: Corporations: The Basics S Corporations: The Basics Limited Liability Companies (LLC): The Basics You can also check out the chart in our… Read more »

You’re a founder who wants to get things moving, but you need some funds. You’ve heard of some of the virtues of the convertible note, including eliminating the need to set a valuation (see our Convertible Debt Primer). While in days of yore it was basically the case that convertible notes had no discernible link to… Read more »

You and your co-founders are getting your company off the ground. Everyone is excited and in perfect alignment. You have many people to be appreciative of as you launch your venture. Even though you may have the urge to share the potential success with everyone that has helped you along the way and to tell… Read more »

With thanks to Hayden Smith for his contributions. A “Cap Table” is a list of Your Company’s Securities At its most basic level, a cap table is just a list of your company’s securities (i.e., stock, options, warrants, etc.) and who owns those securities. A cap table should tell you “who owns what.” More complex cap… Read more »