by TheBusinessProfessor | Feb 23, 2025 | Business Transactions, Antitrust, & Securities Law
How to Grant Common StockA company must undertake several steps in order to grant stock. The primary steps are as follows:What is the Board Approval?The board of directors must approve any issuance or grant of stock. The bylaws will generally lay out the number or...
by TheBusinessProfessor | Feb 23, 2025 | Business Transactions, Antitrust, & Securities Law
Can My Current Employer Claim Rights to My Business?Maybe. Every employee who dreams of creating a new business venture while maintaining their employment asks the question, “can my employer claim any ownership rights in my startup?” The answer to this question...
by TheBusinessProfessor | Feb 23, 2025 | Business Transactions, Antitrust, & Securities Law
The typical equity structure of an Advisor to a VC FundTo understand the typical equity structure of an advisor to a venture capital firm, it is important to understand the structure and role of the advisor. A basic venture capital fund is generally organized as a...
by TheBusinessProfessor | Feb 23, 2025 | Business Transactions, Antitrust, & Securities Law
Difference between a SAFE, Convertible Note, & Equity FinancingThe simple agreement for future equity (SAFE) is a common equity funding document used by startups and investors in seed-stage funding deals. The SAFE was created by the Y Combinator, a famous tech...
by TheBusinessProfessor | Feb 23, 2025 | Business Transactions, Antitrust, & Securities Law
Friends and Family Round vs Angel RoundStartup companies seeking to grow often look outside of the company to equity investors for the necessary funding to meet growth needs. The company exchanges an ownership interest (or right to purchase an ownership interest in...
by TheBusinessProfessor | Feb 23, 2025 | Business Transactions, Antitrust, & Securities Law
What is a Seed Round?Startups need capital to get the business off the ground and to reach critical stages of growth. Early-stage investment capital is commonly referred to as seed capital. The idea is that this capital meets the early growth needs, similar to a seed...
