Startup Legal Support

In the fast-paced world of startups, having robust legal support is crucial for navigating the complex landscape of business law, intellectual property protection, and regulatory compliance. Our firm specializes in providing comprehensive legal services tailored to the unique needs of startups and emerging companies. We understand that entrepreneurs need more than just legal advice; they need strategic partners who can help them build a strong foundation for growth while mitigating risks.

Our startup legal support services encompass every aspect of your business journey, from initial formation to funding rounds and beyond. We combine deep legal expertise with a thorough understanding of the startup ecosystem to provide practical, business-oriented solutions that align with your goals and vision. We are often our client’s only lawyers and can provide general counsel services with guidance and referrals for many complex startup business circumstances.

Business Formation and Structure

One of the first and most crucial decisions a startup must make is choosing the appropriate business structure. This decision has far-reaching implications for taxation, liability protection, fundraising capabilities, and operational flexibility. We guide entrepreneurs through the pros and cons of various business entities, including:

  1. Limited Liability Companies (LLCs): Offering flexibility and pass-through taxation, LLCs are popular for their simplicity and protection of personal assets.
  2. C-Corporations: The preferred structure for startups seeking venture capital, C-Corps offer the ability to issue multiple classes of stock and are typically required for institutional investment.
  3. S-Corporations: Combining some benefits of LLCs and C-Corps, S-Corps provide pass-through taxation while maintaining a corporate structure.
  4. Benefit Corporations: For socially conscious startups, benefit corporations allow for the pursuit of both profit and social good.
  5. Partnerships: Various forms of partnerships can be suitable for certain types of businesses and professional services.

Our team works closely with you to understand your business model, growth plans, and personal goals to recommend the most suitable structure. We then handle all aspects of the formation process, including:

  • Preparing and filing necessary documents with state authorities
  • Drafting foundational corporate documents (e.g., operating agreements, bylaws)
  • Advising on initial stock issuances and vesting schedules
  • Guiding you through post-formation compliance requirements

By establishing the right foundation from the start, we help set your startup on a path for success and scalability.

Contract Drafting and Negotiation

Clear, well-drafted contracts are the cornerstone of smooth business operations and positive relationships with customers, vendors, and partners. For startups, having robust contracts in place is essential for protecting your interests, clarifying expectations, and avoiding costly disputes.

Our contract services include:

  1. Drafting and reviewing a wide range of business agreements, including:
    • Customer and vendor contracts
    • Non-disclosure agreements (NDAs)
    • Licensing agreements
    • Partnership and collaboration agreements
    • Terms of service and privacy policies for digital platforms
  2. Negotiation support to ensure favorable terms while maintaining positive business relationships
  3. Contract management advice to help you stay on top of obligations and renewals
  4. Dispute avoidance strategies through clear, unambiguous contract language

We focus on creating contracts that not only protect your legal interests but also facilitate your business objectives. Our goal is to provide you with agreements that are clear, enforceable, and aligned with industry best practices.

Intellectual Property Protection

For many startups, intellectual property (IP) is their most valuable asset. Protecting your innovations, brand, and creative works from the earliest stages is crucial for maintaining a competitive edge and building long-term value. Our IP protection strategies for startups include:

  1. Patent Protection:
    • Conducting patentability assessments
    • Drafting and filing provisional and non-provisional patent applications
    • Developing global patent strategies
  2. Trademark Protection:
    • Conducting trademark searches and clearance
    • Filing trademark applications domestically and internationally
    • Enforcing trademark rights against infringers
  3. Copyright Protection:
    • Registering copyrights for software, content, and creative works
    • Advising on fair use and licensing issues
  4. Trade Secret Protection:
    • Developing trade secret policies and procedures
    • Drafting invention assignment/confidentiality agreements and non-compete clauses
  5. IP Audits and Portfolio Management:
    • Assessing existing IP assets and identifying gaps in protection
    • Developing comprehensive IP strategies aligned with business goals

We work closely with founders and technical teams to understand your innovations and create tailored IP protection strategies that maximize the value of your intellectual assets while staying within budget constraints

Funding and Investment Agreements

Securing funding is a critical milestone for many startups, but it also introduces complex legal considerations. We guide entrepreneurs through every stage of the funding process, from initial angel investments to large venture capital rounds. Our services in this area include:

  1. Term Sheet Review and Negotiation:
    • Analyzing and explaining key terms
    • Negotiating favorable conditions while maintaining investor relationships
  2. Due Diligence Support:
    • Preparing your company for investor scrutiny
    • Managing the due diligence process to present your startup in the best light
  3. Drafting and Reviewing Funding Documents:
    • Stock Purchase Agreements
    • Investor Rights Agreements
    • Right of First Refusal and Co-Sale Agreements
    • Voting Agreements
  4. Advising on Alternative Funding Structures:
    • Convertible notes and SAFEs (Simple Agreement for Future Equity)
    • Crowdfunding compliance and documentation
    • Revenue-based financing arrangements
  5. Cap Table Management:
    • Maintaining accurate records of equity ownership
    • Advising on dilution and equity incentive plans

We strive to protect your interests and maintain your operational flexibility while securing the capital needed for growth. Our experience with a wide range of funding structures allows us to provide insights into market standards and negotiate effectively on your behalf.

Employment Agreements and Policies

As your startup grows, managing employee relationships becomes increasingly important. Clear employment agreements and well-crafted policies help attract and retain talent while protecting your company’s interests. Our employment law services for startups include:

  1. Employment Agreement Drafting:
    • Offer letters and employment contracts
    • Non-disclosure and invention assignment agreements
  2. Equity Compensation Plans:
    • Stock option plans and agreements
    • Restricted stock units (RSUs) and other equity incentives
  3. Employee Handbook Development:
    • Customized policies reflecting your company culture and values
    • Ensuring compliance with state and federal employment laws
  4. HR Policy Guidance:
    • Anti-discrimination and harassment policies
    • Leave policies and benefits administration
    • Performance evaluation and disciplinary procedures
  5. Contractor and Consultant Agreements:
    • Drafting agreements that clearly define relationships and protect IP

We focus on creating employment documents that not only comply with applicable laws but also foster a positive work environment and protect your company’s valuable assets and information.

Dispute Resolution

While we emphasize preventive legal strategies, we recognize that disputes can arise even with the best planning. When conflicts do occur, we provide comprehensive dispute resolution services to protect your interests and find efficient solutions. Our approach includes:

  • Early Dispute Assessment:
    • Evaluating the strength of your position and potential outcomes
    • Advising on strategic options for resolution
  • Mediation and Negotiation:
    • Representing your interests in settlement discussions
    • Drafting and reviewing settlement agreements
  • Arbitration Support:
    • Preparing and presenting cases in arbitration proceedings
    • Enforcing arbitration awards
  • Litigation Management:
    • Representing startups in state and federal courts
    • Managing complex, multi-jurisdictional disputes
  • Alternative Dispute Resolution (ADR) Design:
    • Creating custom ADR clauses for your contracts to minimize future disputes

Our goal is to resolve disputes quickly and cost-effectively, allowing you to focus on growing your business. When litigation is unavoidable, we leverage our experience and resources to vigorously defend your interests. We’re committed to being more than just legal advisors – we aim to be strategic partners in your startup journey. By providing comprehensive legal support tailored to the unique needs of startups, we help you navigate challenges, seize opportunities, and build a strong foundation for long-term success. Whether you’re just starting out or scaling rapidly, our team is here to provide the legal guidance and support you need at every stage of your growth.

FAQ’s

What is a trademark?
A trademark is a word, phrase, symbol, design, or combination thereof that identifies and distinguishes the source of goods or services of one party from those of others.
How long does trademark protection last?
Trademark rights can last indefinitely as long as the mark is in use and proper renewals are filed. In the U.S., renewals are required every 10 years.
What's the difference between ™ and ®?
™ can be used with any trademark, whether registered or not. ® can only be used with trademarks registered with the USPTO.
Can I trademark a name that's already in use?
It depends on factors like geographic location, industry, and likelihood of confusion. A trademark attorney can help assess your specific situation.
How long does it take to register a trademark?
The process typically takes 12-18 months from filing to registration, assuming no major issues arise.
Do I need to register my trademark?
Registration isn’t required, but it provides significant benefits, including nationwide rights and the ability to sue in federal court.
What's a trademark search, and do I need one?
A trademark search helps identify potential conflicts with existing marks. It’s highly recommended before filing an application to avoid wasting time and money.
Can I lose my trademark rights?
Yes, you can lose trademark rights through abandonment (non-use), improper licensing, or allowing the mark to become generic.
What's trademark infringement?
Trademark infringement occurs when someone uses a mark that is likely to cause confusion with an existing trademark.
Can I trademark a logo?
Yes, logos can be trademarked as design marks.
What can be patented?
Inventions that are new, non-obvious, and useful can be patented. This includes processes, machines, manufactures, and compositions of matter.
How long does patent protection last?
In the U.S., utility patents last for 20 years from the filing date, while design patents last for 15 years from the grant date.
What's the difference between a provisional and non-provisional patent application?
A provisional application is a placeholder that establishes a priority date. It expires after 12 months and doesn’t become a patent. A non-provisional application is examined and can become a granted patent.
Can I patent my idea?
Ideas themselves can’t be patented. You need to have a concrete invention that you can describe in detail.
What's a prior art search?
A prior art search looks for existing patents, publications, or public disclosures that might affect the patentability of your invention.
What does "patent pending" mean?
“Patent pending” means a patent application has been filed but not yet granted.
Can I sell my invention before patenting it?
In the U.S., you have a one-year grace period to file a patent application after public disclosure or sale. However, it’s generally advisable to file before any public disclosure.
What's the difference between a utility patent and a design patent?
Utility patents protect how an invention works or is used. Design patents protect the ornamental design of a functional item.
How much does it cost to get a patent?
Costs vary widely depending on the complexity of the invention and the type of patent. They can range from a few thousand dollars to tens of thousands.
Can I patent software?
Software can be patented, but it’s complex due to restrictions on patenting abstract ideas. A review of the invention in light of recent case law by a qualified patent expert is required to determine if a software related invention is patentable subject matter.
What's the best legal structure for my startup?
It depends on your specific situation. Common options include LLC, C-Corporation, and S-Corporation. Each has significant tax benefits and consequences. Consult with your tax expert (attorney or CPA) to determine the best fit for your needs.

Testimonials

Robert has always been super helpful advising us on making the right decisions, overcoming obstacles that were super important for the future of our brand, and timely reminders for very important deadlines. We definitely plan on continuing to work with him in the future!

Dom I.
Sadi Studios

I had the pleasure of working with Robert McConnell to successfully secure two trademarks and a patent for my businesses, and I couldn’t be more impressed with his service. Robert was incredibly knowledgeable, always prompt, and responsive to my questions, making what could have been a daunting process feel seamless. His expertise and attention to detail gave me complete confidence every step of the way. I highly recommend Robert to anyone seeking exceptional legal guidance in intellectual property.

Andrea Marron

Robert has been my trusted, go-to trademark and copyright lawyer for almost 6 years. As a serial entrepreneur, I value his exceptional work, extremely affordable pricing, transparency and communicativeness and I have confidently placed the safeguarding of many brands I’ve built in his hands. Not only do I use his services frequently myself, but I have also recommended him to many other business owners who have benefited from his strategic thinking and hard work. He’s simply the best.

Suzanne S.
Serial Entrepreneur

Robert orchestrated my company’s patent strategy from our first provisional patent to overseeing our entire patent family. As the CEO of a generative AI company from before the term “generative AI” existed, this was imperative to the value of my company. But lots of lawyers can do that (no offense Robert). Robert might do it better, but that’s not why you should work with Robert. You should work with Robert because his north star is your IP’s efficacy. Drafting a patent and developing a patent strategy are not the same thing. You might not know the difference, but Robert does.

Taylor Margot
Keys AI

Robert McConnell and McConnell Law Firm PC, focus their attention to intimately understand your invention and identify the strongest claim language to secure it. My first utility patent granted in 2009 (before engaging McConnell Law Firm) felt great until I absorbed its contents. I realized it was so narrowly focused that it didn’t protect anything sellable and therefore was useless. Robert saved me from falling prey to IP street hustles, large sums of wasted money, and missing the window to having the right IP when needed. I’m nearly five years into my relationship with McConnell Law Firm, with four utility patents granted and starting a fifth, and four to five design patents. In the IP and Trademark world, I strongly recommend McConnell Law Firm PC.

Mark Grote
GripBlades.com

Robert McConnell Law Firm was one of the best choices I have made of all the years (65) in business. We had lost our trademark, due to a lapse in filing a Declaration of Continued Use. Robert was on it from day one when we acquired his services. He was always available for any questions and quickly filed the proper paperwork with his legal/business knowledge. Both of our trademarks are now registered thanks to McConnell Law Firm.

Stanley J Keyawa
Professional Drum Shop
Hollywood, CA