The use of venture capital in funding new startups has become increasingly prevalent with the evolution of the internet and new technologies. The high-risk, high-yield potential of companies such as internet startups has increased the appeal of venture capitalism, which naturally means there is higher importance than ever on knowing the laws regulating it. Being able to keep venture capital structuring and usage within the limits of federal and state law is a weighty matter, and one that it makes it well worth investing your time and money in a business attorney.
Hart & David provides thorough legal counseling and representation to businesses facing matters of procuring and investing venture capital.
Laws for Venture Capitalists
There are risks of investing in a smaller business that has not yet established its presence in the market. Venture capitalists know this, and thus often develop a diverse portfolio of investments. However, there are a number of regulations that govern the way investments should be managed. These regulations, given by the SEC, are important to take into consideration when investing in venture capital. Some of these regulations include:
- Disclosure, reporting, and transparency standards
- Anti-money laundering regulations
- Advertising and solicitation limitations
- Securities regulations
- Equity investing practices
- SEC registration and reporting
- Due diligence research
With our experience in dealing with the complex regulations governing venture capital investments, Hart & David can provide you with the in-depth legal counseling and protection you need. We are also able to help with dispute resolution and mediation with thorough compliance research and aggressive negotiations on your behalf.
Laws for Startups
The laws applicable to obtaining venture capital cover a wide array of transactions, including mergers, acquisitions, partnering transactions, joint ventures, and so on. Intelligently structuring the transactions made with investors is key to protecting your startup from fraud and legal complications. Therefore, knowing the legal processes and limitations involved in obtaining venture capital funds and using them properly in your business is vital.
Obtaining funding is often dependent on how your business is structured, so you need to know how to keep your operations within the confines of the law. Skilled legal counseling provided by Hart & David will be a huge asset in remaining within legal limits when getting the funds you need. We can advise you on the following matters that can affect the funding you might obtain:
- Operational concerns, such as employment and compensation
- Intellectual property protection
- Enforcement of contracts and agreements
- Sales and trades regulations compliance, including meeting SEC standards
- Drafting documents and contracts
Hart & David provides you with the assistance you need to ensure growth and impact in the market through venture capital funds.
Seeking Legal Assistance
With our experience in corporate governance, securities law, and other business law matters, we at Hart & David have represented numerous companies of all sizes in their investment endeavors. We can advise you on the private equity standards that govern venture capital investments, from structuring deals to assessing overall compliance.
Our knowledge of the law and strong negotiation skills allow us to cover the legal services you need in venture capital. For a free consultation, contact us today.