As a founder, the energy you put into your vision, product, customers, team (are we missing anything?) is all-consuming. It’s no wonder, then, that even the brightest entrepreneurs wind up neglecting to plan and prepare for things that don’t seem burning or urgent… but are certainly important.
Take, for example, decisions around corporate structure and governance. Who is CEO, who is CTO, who is a “co-founder”? Who gets founders’ stock?
In the throes of getting your product to market, these issues may sound remote, administrative, dry or even self-serving. But not thinking through these decisions can lead to dramatic impacts on the future of not only your project, but your financial well-being.
Enter Orrick, Herrington & Sutcliffe LLP’s Startup Toolkit. As a law firm seasoned in its work with early stage companies, Orrick has created some online tools to save founders from headache, helping them to think through important decisions earlier and by doing so, avoid troubles later.
This week our teams had the privilege of hearing Orrick Partner (and founding member of its Emerging Companies Group) Lowell Ness walk through both the Founders and Bridge Financing Term Sheets. While both are available in the online toolkit, Lowell’s commentary on the implications of some of these innocuous-seeming fields was invaluable.
Tune in for this first of a 3-part series from Orrick to our teams (thanks to Orrick’s Total Access program), and get the latest trends in vesting, accelerating options upon change of control, and more!