Our Articles & Publications
Capitalisation Table Part II - A Working Case Study
In Part 1, we explained the building blocks of a capitalisation table: shares, contingent equity instruments, valuation mechanics, dilution, and liquidation preferences. This second edition animates these concepts through a working case study for a health tech startup.
Capitalisation Table Part 1 - Understanding the Basics.
The cap table is a key document to stakeholders in the startup ecosystem. It documents\r\nboth present and contingent equity holders, signaling the key data that enables players to make informed decisions. Crucial to understanding the cap table is having a grasp of the building blocks: ownership, valuation, dilution and liquidation preferences. This article explains each of these four building blocks in turn.
Regulatory Blind Spots - When Innovation Outpaces the Law
Many startups typically innovate outside the scope of existing regulations, and in some cases, grow way beyond the confines of the licenses they hold. This creates a risk that can adversely impact the business model. While this risk cannot be entirely prevented, however, it can be managed by innovative product structuring, engagement with regulators and labeling under the Startups Act (where applicable).
Preliminaries Part II - Intellectual property
Intellectual property rights confer two key advantages to startups: first, it is a competitive advantage as it effectively raises the barrier to market entry. Second, it is considered as an intangible asset that could potentially bump up a company’s valuation. Founders should proceed with caution as a third party may have a strong claim to your Intellectual Property rights under certain circumstances.
Preliminaries Part 1: Founders Equity and Legal Structure
Three key preliminary considerations for a startup founding team are: founder’s equity, legal structure and intellectual property. If you consider offshoring your local startups to the US (Delaware) or other tax neutral jurisdictions, the cautious approach is to consider key factors identified below and seek proper advice.
