This document provides 7 tips for saving money with an attorney when starting a business. The tips include: doing some legal work yourself when appropriate; understanding compensation options for founders and employees; ensuring operating agreements address important issues; identifying and protecting intellectual property; making sure the company owns any technology; having the right contracts in place from the start; and hiring a lawyer that is a good fit. The document emphasizes properly documenting the company formation, protecting intellectual property, and ensuring ownership of technology developed by founders or contractors. It also provides options for identifying IP and outlines what should be included in important agreements.

1. Top 7 Tips to Save $$ with your
Attorney
Juliet Peters
Founding Partner
Becker Peters, PLLC

2. Tip #1:
“Do it Yourself” Isn’t Always Low
Cost
Context is Cost Saving.

3. Equity Issues
LLC CORPVS.

4. Tip #2:
Know the Compensation
Options

5.  Compensate Founders
› How much to pay them?
› Do they have equity? How much?
 Employees vs. Contractors
 Interns (paid vs. unpaid)
Compensation Options

6. Sweat
Equity
Vesting Transfer
Buy-Buy
For Cause
Forfeitures
Compensation Issues

7. Tip #3:
Short Term Thinking = Dollars
Out the Door Later
Document Your Company
Formation

8.  Buy-Sell Language
 Provisions for Death or Divorce
 Different Classes of Units
 “Profits Interest” Language
 Valuation Formula
 Deadlock Provision
Your (LLC) Operating Agreement Must
Have:

9. Tip #4:
Identify & Protect your
Intellectual Property

10. Technical Co-Founder
Outsourcing Your
Development
In-House Development
Identify & Protect Your IP

11.  Actively protect it
 Trademarks
 Patents
 Trade Secret Protection
 IP Identification and Storage
Product Traklight at www.traklight.com
Safeguard Your IP

12.  Business Lawyer ($$$)
 IP Lawyer ($$$$$)
 Traklight.com ($)
IP Identification & Protection
Options

13.  Do it Yourself IP Identification & Protection
 ID your IP
› Know prior knowledge of IP required- like
TurboTax!
› Get a custom report outlining potential IP and
providing strategic advice for protection
 IP Vault
› Encrypted storage for sensitive documents,
ideas, files
› Time-stamped verification
Traklight.com

14. Tip #5:
Make Sure You Own It

15. Technology Assignment Agreement
or Exclusive License
• Broad as possible
• Terms should be worldwide, right,
title or interest to company and
forever (perpetual)
• Confidentiality
• Ability to get injunctive relief
• Strong Reps and Warranties
Ensure Your Ownership When
Working with a Technical Co-Founder

16. Tip #6:
Have the Right Contracts in
Place
…from the Beginning!

17. Whether Outsourcing or Developing
In-House
Development, Consulting or Work Made for
Hire Agreements
Work Made for Hire but Cover Your Bases
Master Agreement with SOW Attached
Reps and Warranties, Indemnity, Insurance
Non-Disclosure Agreements
Non-Competes?

18. Bonus Tip:
Have an Advisory Board
…and/or Technology Advisors

19. Tip #7:
Hire the “Right Fit” Lawyer for
You

20.  INTERVIEW AT LEAST THREE
 EXPERIENCE—TECHNICAL,
BUSINESS
 PHILOSOPHY
 ASK FOR REFERRALS
 FLEXIBILITY
 VALUE
Finding the Right Lawyer

21. Juliet Peters
Becker Peters, PLLC
Scottsdale, AZ
Juliet@beckerpeters.com
480.214.9548
Thank You

22. 30% OFF
ID your IP Traklight.com
Use the coupon code NEWMEM30
offer ends 5-3
Get started on Tip #4 Today
Stay informed about IP!
@traklight
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May Free Webinar:
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Cost: FREE
Email with registration link to follow presentation.