When you were pacing your room at midnight dreaming up the idea that would be the next big thing, you probably were not thinking about the securities laws, and, honestly, who can blame you? Now that you want to make that dream a reality, however, you will need to know something about this complex area of the law because it will play a critical role in the success or failure of your startup. The reason the securities laws are so important to your startup is because these are the laws that will allow your startup to raise, or prevent your startup from raising, money from investors. Consequently, whether you are a software startup or a medtech firm, whether you have four cofounders or are running your business alone, whether you are a local business or a national company, if you plan to have investors, the securities laws matter to you.
In the excitement of starting a business, no one wants to think about ending it, but knowing how to make a safe exit, as well as a grand entrance, is a skill every startup founder should have. Most startup founders will have to close a business at some point in their careers. Here are a few tips on how to do that, if your business is organized as an LLC. Continue reading