Mar 122012
Getting Ready for Due Diligence

Is your startup ready to take on outside investors?  For many startups, the knee-jerk reaction is often “sure,” but be careful: sophisticated investors will want to take a rather invasive look through your company to make sure that they’re not investing in a dog. Prepare for an uncomfortable inquiry. Before that inquiry happens, it’s well worth the effort to find and fix problems that are going to arise in that Due Diligence review anyway.  Not [...]

Feb 282011

Figuring out how to divvy up a new company’s stock among its founders is often the first thing those founders have to work through.  Part of the discussion is always some variant of “what happens if we go two months down the road and one of us pulls out”?  And, the answer to that is always vesting — the founder gets the stock now, but the company can buy all, or part, of it back [...]