As founder of a new venture, you are probably spending considerable energy on solving the technical, scientific or computing challenges. It is critical also to give thought to the legal and business obstacles that might get in your way. Three areas of particular importance to an early stage business are:
Where and how you incorporate your business will have implications at all stages of your venture.
Contracts and agreements
Without the right founders agreements, non-disclosure agreements and employment contracts in place, you open the risk for problems relating to ownership or unfair competition.
Intellectual property protection
Without the appropriate patent, trademark or copyright protection, competitors can swoop in and copy the technology (even your name and brand). If that happens, then you have nothing to bring to the market.
Why are these important?
The importance getting these things right cannot be overstated as they protect your business from unfair competition, ownership disputes and other potential issues. In addition, Venture capitalists and investors often require that tech-based startups show that intellectual property and contracts are in order before giving funds. From their perspective, new businesses already face numerous challenges. Robust legal and IP protection are ways to lower the risks.
The good news is that, with the right expertise at hand, securing business, legal and IP help and protection for your greatest assets can ensure you are giving your business the best protection from Day 1!