The latest article on ‘Business 2 Community’ is titled “6 Legal Mistakes Your Startup Can’t Afford”.

Kayla Matthews says, “When it comes to starting a business, excitement can run high. Entrepreneurs are ready to jump in and to get moving with the end goal – long-term success – in mind. Sometimes this dream makes it easy to overlook certain steps that could be critical, especially relating to legal issues. Check out these six legal mistakes your startup can’t afford and take appropriate action to avoid them.

1. Not Making Clear Agreements Up Front

In many cases, starting a business requires individuals like investors and co-founders able to contribute to the startup to help get everything moving in the right direction. The problem becomes apparent when the agreements relating to these relationships are not clear.

A few questions to consider and to get in writing before proceeding with any partner, co-founder or investor include:

  • What percentage of the company is assigned to each individual?
  • Who will be investing in the company? How much? On what time schedule?”.

Sharing is caring