Top Ten Legal Issues for Startups

Top Ten Legal Issuesfor Entrepreneurs

Brent C.J. Britton12 January 2010

What are Legal Issues?

Legal Issues arethe Right Problemon which to Focus

It’s All Fun and GamesUntil Someone Loses

a Lawsuit

10. Corporate Formation

• form early liability shield asset creation

tax treatment (LLC/corp)Delaware?

9. Founder Relations

• written agreement equity vesting

involuntary departure

8. Investor Relations

• meet the SEC private placement memo

debt or equity?

7. Employee Relations

• written agreement fraternization

policies

6. Customer Relations

• agreements privacy security products

5. Competitor Relations

• antitrust interference

4. Your Intellectual Property

• invention/work/brand/secret

pat/©/®/ts

which? when in doubt: secrecy

3. Their Intellectual Property

• don’t let it in freedom to operate

best defense = good offense

2. The Truth

• cover-ups false advertising disparagement

general

And the number one legal issue for entrepreneurs…

1. Counsel

Thank you