flat fee options
flat fee options
My focus on early stage and emerging companies is driven by the simple fact that I enjoy working with entrepreneurs. Entrepreneurs provide the potential for future opportunities. I also recognize early stages opportunities involve substantial risks coupled with a the need to preserve cash (whatever the amount) while striving for greatness.
To reflect my desire to be a long-term partner I believe the best method of minimizing cash outlays for legal fees, while providing optimal client service is to charge a fixed fee (cash with equity is an option as well). Two Fixed-Fee programs highlighted below are a Start-Up Package and a Financing Package (typically Series A Preferred -- angel or venture capital).
Start-Up Package generally includes:
•Incorporation / entity formation (includes analysis of suitable entity options based on goals and objectives and qualifying in another state);
•Review of Founder(s) Employment Agreements and recommendations;
•Stock option plan, if desired, with forms of option agreements and an explanation of procedures to follow regarding grant of options;
•One agreement tied to a client’s core business and a nondisclosure agreement; and
•Up to six hours of additional time in the first six months (often used for founder’s stock purchase agreement, vesting agreements, offer letters, reseller agreement, license agreement, etc.).
Cost: $7,500
Financing Package includes:
•Consultation throughout the financing with recommendations and advice;
•Business plan review (including budget);
•General corporate cleanup to prepare clients for due diligence from a lead investor(s);
•All financing related preparation and/or review of corresponding documentation (term sheet, private placement memorandum, stock purchase agreement, investors rights, etc.);
•Issuance and delivery of newly authorized securities to investors; and
•All federal and state securities law filings.
Cost: 1% to 2% of the Investment
The Financing Package is often tailored to fit a client’s particular needs and consists of 1% to 2% in cash and in equity.
Finally, in addition to these programs, I offer other fixed-fee programs that focus on a client’s particular needs as well as scaled-back arrangements providing fewer services for less money.
Copyright 2017. Adam Goldblatt, PS. All rights reserved.