10 Legal Issues Founders Need To Know

Author:Mr Terrence Kerwin
Profession:Fox Rothschild LLP
 
FREE EXCERPT

Philadelphia Magazine just published an article I wrote examining common legal issues for startups. In it, I provide a checklist for founders looking to establish their businesses while minimizing or avoiding common legal headaches later on. Here's an excerpt:

Startup founders make countless decisions about their businesses. Here's a list of 10 legal issues that can make-or-break their businesses:

  1. Choice of Entity. Although many factors go into determining whether to form a startup as a corporation or an LLC, two important factors are the startup's funding and hiring plans. A startup will typically form as a corporation if founders expect to raise venture capital (generally $1 million or more), as VC firms often prefer to invest in a corporation to avoid the pass-through profits and losses of the LLC being attributable to the individual partners of the VC...

To continue reading

FREE SIGN UP