Articles
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Every step of the way, startups have a lot to think about. We help ease that burden by considering all the angles and providing clients with clear, forward-looking advice. We know just how quickly the startup landscape can change, so we proactively outline emerging issues and provide actionable recommendations for managing the challenges and opportunities those developments present.
How to Split Equity Between Co-Founders (and Stay Friends)
Founders often delay conversations about equity because they are uncomfortable or assume things will “work themselves out.” However, equity is not just a legal formality. It is a blueprint that defines how ownership, control and accountability are structured within the company.
Mark Zuckerberg Got Founder’s Stock—Should I?
Legally speaking, “founder’s stock” is just common stock issued early—typically at a nominal price and usually subject to vesting. But what people usually mean when they refer to “founder’s stock” is something more: equity with enhanced control features that let founders maintain decision-making authority even after raising outside money or going public.
Qualified Small Business Stock: Tax Benefits for Startup Investors are Bigger and More Beautiful
The One Big Beautiful Bill Act’s amendments to the Qualified Small Business Stock provisions can spur further investment into small business by investors and founders.
The IP Landmine That Can Kill Your Startup’s Exit: Avoiding Common Ownership Pitfalls
One of the most critical aspects of M&A and investment due diligence is ensuring that a target owns the intellectual property required to operate the business and achieve the roadmap.
Founder Secondary Sales: A Primer
A successful secondary sale of a founder’s common stock requires advanced planning by the founder, including early and thoughtful communication with various company stakeholders.
Founder Stock Vesting: What It Is and Why It Matters
When issuing Founder’s Stock, it is important to consider whether a vesting schedule should apply. This may seem like an easy “no” for a Founder—“why would I subject my stock to vesting if I don’t have to?” However, there are (at least) a few scenarios when it may make sense
Maximizing Intellectual Property Protection: Balancing Patents and Trade Secrets for Startups
Understanding the pros and cons of using patents and trade secrets to safeguard IP, as well as the potential for strategically combining these approaches, can provide comprehensive protection for innovations.
Next Steps for Startups: Post-Incorporation Checklist
Now that your business is officially on the map, it is time to take the next crucial steps to ensure a solid foundation for growth and success. This checklist provides new businesses with a roadmap to navigate the post-incorporation phase efficiently.
Equity Compensation: Navigating 409A Valuations
This article demystifies 409A valuations for private companies: what they are, why do you need them, and how do you get them?
Trademark Fundamentals: Distinctiveness
Understanding the levels of trademark distinctiveness can help startup founders make informed decisions when selecting and registering trademarks.
Trademark Fundamentals: Likelihood of Confusion
A core concept in trademark law that every startup founder should understand is “likelihood of confusion.” This legal standard plays a pivotal role in both trademark registration and enforcement.
Trademark Fundamentals: Materials Ineligible for Trademark Protection
Not everything can be protected as a trademark. Certain types of material are specifically excluded from trademark protection under U.S. law. As a startup founder, it’s crucial to understand what cannot be registered as a trademark to avoid potential rejections and legal challenges.
Trademark Fundamentals: Opposition and Cancellation Proceedings
For startup founders, navigating the complexities of trademark law is essential for protecting your brand. An important aspect of this process involves understanding opposition and cancellation proceedings.
Trademark Fundamentals: Selecting Goods and Services for New Applications
As a startup founder, you’re often faced with numerous decisions that impact the future of your business. One such decision is how to approach trademark applications.
Trademark Fundamentals: Use in Commerce
Startup founders looking to protect their brands need to understand the concept of “use in commerce” to successfully register their trademarks with the U.S. Patent and Trademark Office (USPTO).
Trademark Fundamentals: What Is a “Basis” for a Trademark Filing?
When applying to register a trademark, a critical component you will encounter is selecting a “basis” for the application.
Trademark Fundamentals: What Is a Specimen of Use?
As you dive into the world of trademarks to protect your brand, one element you will encounter during the registration process with the U.S. Patent and Trademark Office (USPTO) is the “specimen of use.”
Trademark Fundamentals: What Is a Trademark?
For startups venturing into competitive business landscapes, protecting your brand is not just an option—it’s a necessity. One of the most effective ways to protect the investment you make in building your brand identity is through effective trademark management.
Trademark Fundamentals: Who Owns a Trademark?
When launching a startup, it’s crucial to establish a strong brand identity, which often includes selecting a unique name, logo and other identifiers that distinguish your products or services in the marketplace.
Protecting IP During Joint Development Projects: Agree on More than Non-Disclosure
In these joint-development scenarios where the ultimate product requires the integration of multiple systems devised by two or more specialized businesses, the involved parties should understand the consequences of sharing information and how it can impact their planned project outcome.
Moonlighting: When Should I Quit My Day Job?
Most founders cannot afford to quit immediately upon conceiving an idea. Here are a few considerations to mitigate risks related to a founder’s relationship with their employer.
Should I Incorporate on My Own?
Given the mass availability of “do-it-yourself” incorporation websites today, many founders might be tempted to save some cash by simply filing the incorporation documents with the Secretary of State themselves instead of consulting with a lawyer.
Privacy Breach: The Silent Killer of Startups
A privacy breach and data breach can be intertwined. This article explores the reasons why a privacy breach is harmful to startups and key considerations when dealing with a privacy breach.
Steal My Idea, I Dare You: The Power of Protecting Your Intellectual Property
In the cutthroat arena of business, where ideas spark revolutions, the protection of intellectual property (IP) is not just a legal formality—it’s a survival strategy.