I’ve Currently Got a Day Job. Can I Start Working on My Startup as Side Hustle?
Moonlighting on your startup while you have a day job may not be the best move. It could create significant issues for you and your new company. Below are the key legal issues that could have a huge impact on your startup’s viability. Restrictive Covenants Your employment agreement with your current employer may restrict your…
What Legal Structure Is Best for Your Startup?
Choosing your legal structure is a pivotal decision. Sometimes the options can feel overwhelming, so the goal of this article is to help you understand the benefits and limitations of each structure so you can figure out what’s best for your startup. Every situation is unique, so it’s essential to work with legal counsel to…
C Corp vs LLC: What Startup Founders Should Know
When starting a new business, one of the most important decisions you’ll make is choosing the right legal entity structure. The two most common structures for U.S. startups are C-Corporations (C-Corps) and Limited Liability Companies (LLCs). While both offer liability protection and other benefits, they differ in several key aspects, including taxation, management structure and…
S Corp vs C Corp: What is Best for Your Startup?
While both S-Corporations and C-Corporations can be beneficial for startups, they have distinct advantages and disadvantages in terms of ownership, taxation, dividend distributions and raising capital. Startups must carefully consider these factors and consult with experienced advisors before deciding which type of corporation is right for their business. These general principles will help you understand…
S Corp vs LLC: S Corp vs LLC: Which Option is Best for Your Startup?
When starting a new business, one of the most important decisions you’ll make is choosing the right legal structure. Two popular options for startups that aren’t seeking venture funding are S-Corps and LLCs, each with its unique advantages and disadvantages. In this post, we’ll explore the differences between S-Corps and LLCs, including their tax implications,…
When Should I Incorporate My Startup?
Launching a startup can be a thrilling and satisfying experience. However, it’s crucial to consider the legal and financial aspects when forming your startup. One of the most important decisions you’ll make is when to incorporate. In this article, we’ll discuss when it makes sense to incorporate your startup. Although every situation is unique, it’s…
Where Should I Incorporate My Startup?
When starting a new business, state of incorporation matters. The decision of where to incorporate can have long-lasting effects on your business’s success. In this article, we’ll explore the advantages and disadvantages of incorporating in different states, and help you make the best decision for your startup. These general principles will help you understand which…
Why Do Venture Capitalists Prefer Delaware C-corps?
Venture capitalists (VCs) are known for their preference for investing in Delaware C-corporations. But why is this legal structure so popular? Surprisingly, the answer is not low taxes. In this post, we explore the benefits of incorporating in Delaware, including the state’s well-established corporate legal ecosystem, its specialized court system, and the ease of raising…
I Just Incorporated My Startup. Do I Need to Do Anything Else?
Congrats! You’ve incorporated. Your startup is officially a real company. It’s a meaningful step in the process but only the first step. Before you are able to legally operate your startup, there are a number of additional steps you need to take. This is sometimes referred to as the post-incorporation process, which brings you from…
Delaware C Corp Startup Incorporation Documents
If you’re starting a new business, there are several essential agreements you’ll need to establish in order to launch a Delaware C-Corp. These agreements include the certificate of incorporation, action of incorporator, initial board consent, bylaws, Restricted Stock Purchase Agreement, notice of stock issuance, 83(b) election and a Confidential Information and Invention Assignment Agreement. In…
