How To Launch a Startup and Avoid Ending-up in Jail

Introduction

I love working with startups and trying to protect founders (and watch their backs).  Not only are there key contractual issues that must be buttoned-down (like vesting and IP assignment), but also there is a minefield of laws and regulations that must be complied with.  Indeed, in a world of easy access to online documents and web sites like LegalZoom, it is often this legal compliance which is overlooked by founders, as they attempt to stay “lean” and “scrappy.”  As discussed below, however, non-compliance with certain laws and regulations could lead to founders’ criminal liability.

(more…)

Tags: accredited investors, Chris Dixon, finders, illegal immigrants, independent contractor, IP assignment, minimum wage, misclassifying employee, payroll taxes, privacy laws, sales taxes, securities laws, startup, startups, vesting
Posted in Startup Issues | Comments Off on How To Launch a Startup and Avoid Ending-up in Jail