Starting a company? Don’t succumb to these 3 common legal issues

Originally posted on VentureBeat:

legal-protections

This is a guest post by startup lawyer Jennifer Berrent

When launching a startup, legal issues often get brushed aside in order for founders to focus on building the product. But making the wrong legal decision early on in the process of starting your company may lead to thorny problems in the future.  Frequently, issues can be avoided by taking action in three key areas: choose the right entity, allocate equity and protect your intellectual property.

Choose the right entity

Once you are ready to move forward with an idea, you should formally form your startup as an entity.  One important benefit of setting up an entity is that you can protect yourself from liability, since, in general, only the assets of the entity (rather than your personal assets) would be at risk. Depending on your business, either a C-corporation or a limited liability company (LLC) would likely make most sense. …

View original 397 more words

About these ads

Leave a comment

Filed under Legal

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s