Why You Should Avoid “Most Favored Nation” Agreements

In commercial transactions, “most favored nation” (MFN) or “most favored customer” refers to contractual provisions where a company agrees to charge a customer the lowest price for a specific product or service. If the vendor sells the…

Restricted Stock Units Are A Highly Effective Tool in Motivating Employees

The Risk of Overfunded Startups

According to a recent article in Bloomberg, there is a lot of money trapped in the Silicon Valley startup world (the term they use is “overstuffed.”) Emerging companies are still receiving unprecedented sums of money from investors (though perhaps slightly less than in…

The Crowdfunding Landscape in 2017

Small firms are increasingly turning to Internet crowdfunding techniques as an alternative to traditional angel and VC sources. Once an outlier, today crowdfunding has hit new highs in financings. In 2016, crowdfunding investments were around $4 billion in the US. But…

Paying a “Finder’s Fee” Could Mean Trouble for Your Business

It’s a common misconception that companies can use the “finders exemption” in the Securities Exchange Act of 1934 to get around SEC regulations. Many start-ups use “finders” to connect their company with potential investors…

Do’s and Dont’s of SaaS Contracts

​Software as a Service, or SaaS, is the name used to broadly describe software offered through the internet (think Quickbooks online versus the Quickbooks installed on your computer) and is an easier and often more effective way for different companies to make their…

What to Look for When Considering Angel Seed Financing/Investing

You’ve finally gotten your idea off the ground. You’ve bootstrapped or found some friends and family for your first round of funding. Now you are considering angel seed financing to take your idea to the next level. One…

Three Things To Bear In Mind When Hiring Your First Employee

What New Businesses Need to Know About Choosing Partners / Cofounders