Flat Fee Lean Start-Up Business Legal Package Guide

Many entrepreneurs and founders are hesitant to talk to an attorney for fear of the dreaded hourly billing or unknown costs.  The other concern is that many people fear or don’t want to deal with lawyers, either because they don’t know what to expect or there have been bad experiences they have experienced or have heard about.  That is why many people avoid getting initial legal work complete when they are working on a startup idea.  I have discussed in a recent article about some of the problems and reasons why founders need to get quality business, financial, and legal advice very early on in the process (See Business Start-Up Toolkit- A Guide to Lean Startup Legal & Advisors).  I have also discussed in a separate article what to look for in a startup attorney.  People often resort to online document templates or avoid putting things in writing or use online incorporation/document services.  These things can have their use and can save money; however, there are ways to get these things done properly and avoid mistakes that can end up being much more costly in the long run (also discussed more in the Guide to Lean Startup Legal above).

I put resources and educational material up to help people make wise decisions on when to save money on my websites and blog; however, I also try to put things together to help entrepreneurs at a reasonable price when they need to spend the money to get their legal work performed.

I offer a variety of flexible payment terms for start-up legal services and offer a flat fee start-up package for a total of $5,000 that includes all the following early and formation stage legal service/documents:

Incorporation / Organization

  • Reserve a corporate name
  • Incorporate or form a limited liability company
  • Prepare necessary bylaws or operating agreement to provide how the company is managed
  • Prepare all formation corporate consents and resolutions by shareholders and/or board, corporate records, and minute book
  • Prepare and file Form SS-4 Application for Employer Identification Number
  • Prepare and file a qualification to do business as a foreign corporation in the state in which the company is located (if applicable)
  • Prepare form of Indemnification Agreement for officers and directors

Capitalization

  • Preparation of Founders’ Restricted Stock Purchase Agreements for up to four Founders (with standard vesting terms)
  • Preparation of Stock Certificates and Receipts for up to four Founders
  • Preparation of Memorandum re 83(b) Elections for Founders
  • Preparation and filing of state securities filings for stock issuances to Founders
  • Preparation of Stock Option/Stock Issuance Plan
  • Preparation of form Stock Option Agreement
  • Preparation of form Stock Issuance Agreement
  • Sample cap table

Employment and Consulting Matters

  • Preparation of form of At-Will Employment Offer Letter
  • Preparation of form of Proprietary Information and Inventions Agreement
  • Preparation of form of Independent Contractor Services Agreement

Intellectual Property Matters

  • Preparation of Nondisclosure Agreement (NDA)
  • Preparation of Assignment of intellectual property from Founders to the company
  • Preparation of Memorandum re Trademark Matters for a new company

In addition to these documents and filings, we also provide some initial review and guidance through the following consultations:

  • One hour of advice on protection regarding employment, intellectual property, insurance, record keeping, & other aspects of the business
  • One hour of advice on venture capital term sheets, PPMs, fund raising, & business plans
  • One hour of advice on negotiation, drafting, and entry into contracts and related agreements (as well as review of contracts)

Contact me to discuss if you or your company would like a free initial consult to see if this service is something you may need.  This offer is only valid for California clients and only valid through June 30, 2012.  This offer does not include out of pocket costs for filings or expedite fees, which average about $300 to form a California corporation with a several week turn around from the secretary of state.  For approximately $500 more, the turn around from the state can be cut to several days.

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