Top Viewed Articles
Vesting and Buyback Rights
There are few things that create more resentment than the departure of a founder after only a short time with the corporation, who retains all of his or her shares and thus gets a “free-ride” on the efforts of those who stay behind. For this reason, startups often institute a vesting s... read more.
There is no legal requirement for shareholders to enter into a shareholder agreement, and it is possible for a corporation to be governed only by the applicable corporation statute, together with its articles of incorporation and by-laws. However, most shareholders find that this “default” scenar... read more.
Understanding Intellectual Property Rights
While most people involved in the technology industry have some knowledge of intellectual property rights, the extent of this knowledge varies widely. Some will have heard of patents, copyrights and trade-marks, but have difficulty articulating the differences between them. Others may have a be... read more.
From the Blog
On May 5, 2015, certain changes to the prospectus exemptions under National Instrument 45-106 Prospectus Exemptions (“NI 45-106”) come into force. These changes include amendments to the accredited investor exemption and the minimum amount investment exemption, and in Ontario, a new “family, friends and business associates” exemption (the “FFBA exemption”)....
If you just invested in the next big thing by way of a convertible promissory note, you will want to ensure that, when it converts, you get all of the equity to which you’re entitled. Does your note convert at the valuation set by new investors in the next financing? The valuation is typically expressed as the share price paid by investors in the next financing. Do you know how the share price of the next financing is calculated? ...
If you’ve determined that your new venture is going to require outside investment, there are a number of things you can do to make your company more attractive to investors....