Start-Ups
New and early-stage business ventures (also termed "start-ups") involve a wide variety of interrelated legal issues. New ventures should center on novel ideas that confer a market advantage over the existing approaches of competitors. Therefore, Intellectual Property considerations, including patent and trademark protection, are central to a successful start-up.
Choosing the right form of business entity is also a primary concern. One form of business organization available in New York and many other states, known as the LLC, offers potential protection of individual assets from business-related claims, with less formality and, typically, expense, than the more traditional corporation. But certain types of corporation are often preferred by venture capital, angel and seed investors, if an entrepreneur is seeking such financing. Tax considerations, including the probability of profitability and timing of profits, also greatly influence the choice of business entity.
In conjunction with selecting a form of business organization, management structure, operating and founders' agreements, and financing itself herald a wide variety of potential pitfalls that require counsel with expertise in the field. The excitement of a new venture, including potential rounds of financing and early buy-out offers, can cloud the soundest judgment. The more objective oversight of start-up attorneys who understand the stakes of every term of an agreement can be especially helpful in this context.
Beckman, Burns & Nguyen maintains an active start-up practice that gains strength from its complementary practice areas in the fields of intellectual property, internet and technology law and business organizations. For more information concerning how the firm can help with your active or potential start-up, contact us at info@bbnlaw.com, or explore the additional informational links below.