There is an old, but very accurate saying in Washington, DC:  “If you are not at the table, you’re on the menu.” Put another way, while what goes on in the Nation’s Capital may seem distant and unrelated to building and sustaining a business, failing to closely observe, understand and, when necessary, interact with Washington… Read more »

The term “Founder” is commonly applied to those who were instrumental in creating a new enterprise. Founders are “present at the creation” and play a key role in forming the company. Bestowing the title of “Founder” does not itself give the Founder any special legal rights because the title “Founder” has no independent legal meaning. … Read more »

When a key customer files bankruptcy, one of the first questions you will face is whether to keep doing business or end the relationship. (Another key question is making sure your pre-bankruptcy claim gets on file or otherwise acknowledged.) Since companies in bankruptcy (called debtors or debtors in possession) usually cannot survive without trade support,… Read more »

“Types of Corporations” is part 2 of a 5 part video series exploring issues related to forming a company. Check out the previous part of the series, Why Do I Need to Incorporate, and the next parts Choosing an Entity Type, The Incorporation Process, and Issuing Equity.  

You will not be able to close a round of financing, sell your company or do an IPO if your corporate house is a mess. Investors, buyers and underwriters all insist on doing pre-transaction diligence to ensure that you have copies of all of your key documents and to assess whether these documents contain any… Read more »

Why Do I Need to Incorporate? is part 1 of a 5 part video series exploring issues related to forming a company. Check out the next parts of the series, Types of Corporations, Choosing an Entity Type, The Incorporation Process and Issuing Equity.

**Update: The SEC recently adopted rules to permit companies to offer and sell securities through crowdfunding, including to individuals that are not accredited investors. For capital raises that do not meet the requirements of Regulation Crowdfunding the post below continues to be applicable.** A question I receive frequently from entrepreneurs raising capital for the first… Read more »

Generate your own version of the KISS documents here. In an effort to remove some unnecessary friction from early stage financings, a number of organizations have recently provided (on an “open source” basis) various legal forms for use in financings.  Among the earliest publicly available forms were the documents produced by the National Venture Capital Association… Read more »