Resources for insight and
inspiration
Guides
Insights
Memorandums of Understanding (MOUs): Clarity Without Commitment
In early startup partnerships or exploratory projects, you might not be ready for a full contract - but you still need alignment. A Memorandum of Understanding (MOU) provides a way to set expectations without creating binding obligations.
Letters of Intent (LOIs): What Founders Need to Know Before the Deal
Startups often move fast - but when you're courting investors, buyers, or major customers, you need to slow down just long enough to sign a Letter of Intent (LOI). It’s not a binding contract (usually), but it lays the groundwork for one - and sets the tone for the entire deal.
SaaS Agreements Demystified: Legal Must-Knows for Software Startups
If your startup delivers software in the cloud, your SaaS Agreement isn’t just legal fine print - it’s the foundation of your customer relationships. The terms you set now will define your revenue model, limit your risks, and help you scale into larger deals.
FAQs
Open allYou risk fines, penalties, or lawsuits. For example, missing wage notices or payroll setup can trigger regulatory issues.
Before day one. Send documents and policies in advance so the employee begins with clarity and confidence.
At minimum, U.S. employees need an offer letter, I-9, W-4, and confidentiality/IP agreements. Some states require additional wage notices.
Yes. Even with a small team, onboarding helps establish culture, set expectations, and avoid compliance mistakes.
Contractors are best for short-term, specialized, or non-core projects. Employees are necessary for ongoing roles central to your business.
It creates legal and financial liabilities. Investors want clean workforce records to avoid unexpected tax or compliance risks.
No. Classification depends on the actual working relationship, not the job title or contract language.
Contractors control how they do their work and usually operate independently. Employees work under your direction and are integrated into your business.
They clarify compensation, benefits, and employment terms, reducing the risk of disputes and protecting the company legally.
Absolutely. Grants should be approved by the board, backed by a 409A valuation, and issued through a written equity plan.
Most startups use a 4-year vesting schedule with a 1-year cliff to ensure commitment and retention.
Yes, but it should be modest. Paying yourself something demonstrates value for your time, but it shouldn’t jeopardize the company’s survival.
Not entirely. Wrongful termination, discrimination, or retaliation claims are still possible. Document performance and follow fair processes.
You could face penalties, lawsuits, and government audits. Startups must track hours and pay overtime where required.
Yes. A handbook sets clear expectations and helps protect against legal claims, even for small teams.
Misclassifying employees as contractors or exempt workers can lead to back pay claims, penalties, and lawsuits.
You risk fines under laws like GDPR and CCPA, removal from app stores, and loss of user trust.
At least once a year, or whenever you change your data practices, adopt new tools, or when laws change.
A Privacy Policy explains how you handle user data. Terms of Service govern how users interact with your platform. Both are essential.
Yes. If you collect any personal data - emails, IP addresses, or cookies - you need one. Most app stores and ad networks also require it.