Startup Legal Services for Founders Building and Scaling

• Consider the ownership and governance structure needed.
• Evaluate tax treatment with appropriate tax professionals.
• Match the entity to financing and growth plans.

Entity formation is largely governed by state law, not one federal startup regime. A company may also need registrations where it does business. Review business entity filing requirements as part of that decision.

• Document founder equity and agreed vesting terms.
• Address what happens when a founder leaves.
• Clarify ownership of work created by founders.

Founder documents can reduce uncertainty as the business changes. Equity, vesting, transfer restrictions, and departure terms should reflect the founders' actual arrangement.

• Assess whether inventions may warrant patent protection.
• Consider trademark protection for key names and brands.
• Document measures used to keep valuable information confidential.

Patents, trademarks, copyrights, and trade secrets have different requirements. For qualifying trade secrets, the federal Defend Trade Secrets Act may provide a civil cause of action, while state law may also apply.

• Check assignments covering founder-created technology.
• Address IP rights in worker and contractor agreements.
• Review licenses for third-party technology.

Creating a company does not automatically settle ownership of each asset. Written assignments and licenses matter when investors examine the company's technology and rights.

• Assess employee and independent contractor classifications.
• Use terms that reflect the actual working relationship.
• Address confidentiality and IP ownership where appropriate.

Hiring can involve federal, state, and local requirements. Employment counseling can help address classifications and terms for different workers.

• Keep grants consistent with required company approvals.
• Maintain accurate option-pool and equity records.
• Check applicable tax elections and deadlines.

Equity grants can raise corporate, securities, and tax issues. When Section 83(b) applies to transferred property, the federal election generally must be filed no later than 30 days after the transfer.

• Maintain an accurate capitalization table and equity records.
• Track options, warrants, and other outstanding rights.
• Keep material contracts and corporate approvals accessible.

Diligence scope changes with the transaction and company stage. A corporate due diligence review can surface missing approvals, ownership records, or contracts.

• Identify the security or investment instrument offered.
• Determine which registration path or exemption may apply.
• Check federal filings and applicable state requirements.

Private-company fundraising remains subject to securities law. An offer or sale of securities generally must be registered under the Securities Act or qualify for an available exemption. State requirements may also apply depending on the offering.

• Check permits and licenses tied to the business and location.
• Identify regulations that apply to the product or service.
• Review privacy, employment, and fundraising obligations as relevant.

There is no single federal startup license covering every business. Depending on the activity and industry, requirements may arise under federal, state, or local law.

Startup attorney cost can vary with scope, complexity, and timing. Defined tasks may use a flat fee, while transactions or ongoing matters may use hourly or other agreed fee structures.