The National Venture Capital Association (NVCA) publishes model legal documents for venture capital financings, including a Certificate of Incorporation, Preferred Stock Purchase Agreement and Investors Rights Agreement. These documents enjoy wide industry acceptance as baseline agreements that parties and their counsel can tailor for each deal. They also include commentary on East and West Coast

Issuers and investors are well advised to document their deal in a term sheet.  Though generally non-binding, they add significant value.  Detailed term sheets raise issues early when there is still ample negotiating time. They also make drafting the definitive documents more efficient, saving on legal fees. However, parties must be vigilant to document the

Assuming that a startup company and an investor are comfortable with the recently formulated Simple Agreement for Future Equity (“SAFE”) as the investment vehicle to finance the startup company’s early operations, the parties are then faced with the question of which version of SAFE is appropriate for the investment. Fortunately, the possible list