Technology startups and the people who create them, invest them and see them to maturation are an incredible bunch. These are people who are risk-takers, entrepreneurs, visionaries (in some cases) and believers in new ways to do business and make a valuable contribution to society while doing so. There are conferences designed to uncover new, great technology startups on both coasts of the United States, and young people in San Francisco and New York are flocking to join startups to take part in this new work-life revolution.
At our technology law firm Weiss Brown, we see a lot of startups in the SW region of the US from our base in Scottsdale, Arizona. And we take a great deal of care and consideration to understand the startup’s models, business structure, potential business and legal pitfalls and challenges and we help guide them to an area that makes sense for the startup to be. In essence, we understand technology law and we want to share that knowledge with startups.
One of the first issues that typically arises with technology start-up companies is protecting their IP, or intellectual property. This is the most important concern for young startups. They either have great ideas, great technologies along with those ideas, or a powerful combination of both.
For instance, some intellectual property comes in the form of a prototype or the beginnings of code. This is the backbone of the company’s work in some cases, the establishment of the appropriate agreements with the company’s software writers and technology developers based on where the technology is in the stages of development.
In some instances we’ve seen, technology start-ups may have begun developing their technology without appropriate protections in place to define the relationships between code, code-writer, and company. For a company, this could be considered the most important principle for startups – protect the IP, protect the code.
Finding a law firm that understands the need to work quickly in creating a structure for young technology companies should be your first priority. This will help to facilitate a successful growth path and will minimize issues of ownership that can lead to litigation down the road. Here is more information on getting help with your technological areas. Your business is important to you, and technology-based start-ups are important to the future of our country!