I am raising a seed round and my cofounders all have our equity agreed upon, but it isn't issued yet. Do we have to issue it before raising the seed round (ie is that part of due diligence?).
If we failed to raise what we wanted for instance, we would have to get more help via other engineers and in that case our cap table would change again and we would have to re-issue shares. Rant: Equity has no flexbility and is a terrible system. There should be more flexibility as scenarios change without having to hire a lawyer or issue new shares.
I'm also just generally interested to hear anyone's experiences of setting up vesting schedules (time-based) with a CTO/Cofounder?
I know vesting is a good way of hedging the risk of giving away equity, but I wanted to be sure that it was possible to end a vesting schedule if that person is not performing optimally.
Apple Legally Goes After Startup Over Their ‘Pear’ Logo Interesting Engineering
“startups when:1d” – Google News
What do I need to do to legally get everything in order? I have some clients, and found a great dev team. But I've never hired anyone before (and I can't do all the work myself; that's why I'm hiring them). What do I need to do? They're based here in the U.S.
I've registered my software firm as an LLC. No clue what else to do. I'll be interviewing them once I have an idea of what I need to do legally.
Can anyone help? Thanks in advance.
I was going into business with this guy and we signed this contract saying we would work on the project, and not create other businesses that compete in the same industry. The company never really existed legally, we never sold anything, and we just stopped talking to each other. Is this contract valid even if the entity mentioned never existed?