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Seed Funding Basics
By Jason Miller
After forming a company and dividing equity amongst the co-founders, a founding team’s next questions are typically about funding. Often among ambitious founders, venture capital first comes to mind. Today, venture capital is well-suited for growing early-stage companies but rarely available for truly starting companies. In recent years, venture capital has been deployed in larger amounts to fewer companies and there has been a corresponding shift toward larger and more frequent seed or angel investments.

MintzEdge 101: FDA For Start-Ups
In this episode of MintzEdge’s From the Edge podcast, Sam Effron speaks with Ben Zegarelli of Mintz about considerations for new medical device, pharmaceutical, or other health regulated start-ups and strategies for how to prepare for FDA oversight.

Key Considerations: Board of Director Composition and Director Recruiting in Early Stage Companies
By Christina Balestracci
The board of directors governs the activities of a company, overseeing and advising management while upholding its fiduciary duties to the company’s shareholders. A board is tasked with making high-level decisions, approving major policies and supervising performance and company strategy. Given its significant role, there are several important and strategic factors to consider when structuring a board of directors.

IRS Provides Additional Guidance on the Tax Treatment of Cryptocurrency
By Avi Reshtick, David Salamon
Nearly five years after the release of the only published guidance in the area, on October 9, 2019, the Internal Revenue Service (the “IRS”) issued additional guidance on the tax treatment of cryptocurrency. The additional guidance was delivered in the form of Rev. Rul. 2019-24 (the “Crypto Ruling”) and a set of Frequently Asked Questions (“Crypto FAQs”) that applies the principles outlined in the IRS’ previously issued guidance (Notice 2014-21) to an expanded set of situations.

Founder Liquidity: Key Considerations in Secondary Sales
By Soobin Kim
As a founder starts and grows a company, the founder may consider selling her shares in the company prior to an exit via a sale of the company or an initial public offering. Such sale, typically called a secondary sale, helps a founder meet needs for necessary expenditures or reduce her risk tied to the company. In the past, the founder’s sale of her shares was viewed as signaling lack of confidence and misaligning the founder’s interests, and therefore, investors often blocked the founder’s sale of her equity.

MintzEdge Entrepreneur Perspective: Una Ryan Guides Entrepreneurs From Startup To Exit
In this podcast, Una Ryan, a successful life sciences entrepreneur and investor, shares her fascinating story of how she came to the United States and became a successful life sciences entrepreneur, investor, and artist – and offers important tips to help entrepreneurs achieve success.

Liquidity for Private Company Securities — Rule 144
By Joshua Bergmann
For early stage private companies that need to effectively utilize available capital, often times attracting talent comes at the expense of issuing shares of stock (or options to purchase shares of stock) of the company through the use of an equity incentive plan.

What Lessons Can Investors Learn from SoftBank's Investment in WeWork?
Few investments by venture capital or private equity funds have undergone as much scrutiny as the investment by SoftBank in WeWork.

Social Impact Investing: Benefits and Recommendations for Investors
By Nadia Do Canto
On August 19, 2019, nearly 200 chief executives met to redefine the purpose and role of businesses in society. The outcome of this meeting was a paradigm shift from the long-held corporate orthodoxy that shareholders’ interests are supreme to a standard that promotes “an economy that serves all Americans.”

MintzEdge 101: The Value Of Mentors – John Morris, Vistage Chair
In this podcast, Jeremy Glaser discusses with John M. Morris the value of mentors and the role they can play in both early stage and later stage companies.

How to Write Gender-Neutral Contracts
“Men” is not synonymous to “person”, nor does “he” mean “she.” It is important for contractual language to be not only precise but also accurate. Many agreements govern multiple individuals, some of whose gender is unclear or variable.

MintzTech Connect Industry News — October 2019
By Dan DeWolf and Samuel Effron
This issue of TechConnect covers common Equity Incentive Plan mistakes and profiles event data analytics company Vivastream and Gas It Up, a start-up focused on mobile gasoline delivery.

Venture Debt 101: A Discussion Of The Basics And Key Considerations
In this episode of MintzEdge’s From the Edge podcast, Will Perkins speaks with Phil Gager of Stifel about venture debt. Will and Phil begin their discussion with an exploration of the background and basic terms of venture debt. They also dive deeply into the use cases — when a technology-driven emerging business should think about taking on venture debt and when it should not.

Patenting Considerations for Artificial Intelligence in Biotech and Synthetic Biology
By Terri Shieh-Newton, PhD, and Marguerite McConihe
Artificial Intelligence (AI) inventions have aided development in nearly every industry, but perhaps none more so than synthetic biology. For synthetic biology researchers, AI has developed into a vital tool to create cutting edge applications.

Recap of Federal Register Notice on Artificial Intelligence (AI) Patent Issues
By Marc T. Morley, Michael T. Renaud, Paul S. Brockland
Artificial Intelligence (AI) is increasingly becoming important across a diverse spectrum of technologies and businesses. As AI grows in importance in business and technology, so too grows the number of patent applications and the potential for uncertainty.

Issuing Stock Options Under an Equity Incentive Plan
By Jenna Stewart
Private companies often adopt equity incentive plans in order to issue stock options to their employees, directors and consultants. However, once the plan is adopted, there are a number of things that a Company should consider when granting stock options. This article provides a list of questions for private companies to consider when issuing stock options under an equity incentive plan.

Why You Should Consider Incorporating Your Start-Up in Delaware
By Michael Ginzburg
Start-ups often ask what is the most beneficial jurisdiction in which to incorporate. Most of the time we advise our clients that incorporating in the State of Delaware is the most advantageous for the following reasons:

California’s New Independent Contractor Law — What Your Emerging Growth Business Needs to Know
In this episode of MintzEdge’s From the Edge podcast, Jeremy Glaser speaks with Jen Rubin about AB 5 — California’s recently enacted law banning most types of independent contractors, the financial impact of that law on start-ups and emerging growth employers, and the changes in hiring methods employers need to make now in order to comply with the law’s provisions.

California Law Impacts All Categories of Independent Contractors – Not Just Gig Workers – What Your Business Needs to Do Now
By Jennifer B. Rubin & Audrey Nguyen
California Governor Gavin Newsom has now signed AB 5 into law, effectively ban nearly all categories of independent contractors – not just gig economy workers. AB 5 will become effective on January 1, 2020 for all businesses that contract with individuals who perform services in California.

Creating a Board of Directors: Key Considerations for Startup Companies
By Keunjung Cho
One of the most important decisions that a startup entrepreneur can make is creating a board of directors that will assist the entrepreneur in growing and governing the business. A company’s board of directors is tasked with overseeing and advising management, making key decisions about the company’s business strategies, and representing the interests of the company and its stockholders.
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