Launching your own startup internet enterprise is exciting, but it requires a lot of work. Of course you want to hustle to meet development deadlines and get your idea out there. That being said, there are a number of things that must be completed at the beginning stages, particularly in the interest of protecting the company and its personnel.
Although some companies don’t necessarily need a corporate structure at the very beginning, but incorporating too early can be detrimental, especially if the wrong people are chosen for positions of leadership. However, not incorporating at all can be just as big a mistake, as it poses hazards for the company’s officers, especially in such risky industries as ones involving health and medicine. 50-50 partnerships, although initially a good and equitable idea, can also be dicey, especially when either party begins to disagree. Once this begins to happen, it can easily escalate, and because each partner owns half of the business, this can inhibit or even kill the venture. On the one hand, the partnership between Soichiro Honda (founder of the automobile and motorcycle concern that bears his name) and his business partner Takeo Fujisawa was marked by profound honor and harmony, butt not all business partners are so lucky. For example, consider the tenuous bonds between John Lennon and Paul McCartney, or W.S. Gilbert and Arthur Sullivan. Though fruitful, each of these professional relationships irrevocably ruptured owing to a difficulty in terms of seeing eye-to-eye inherent in each case from the very beginning.
When Led Zeppelin formed in 1968, the association between founder and guitarist Jimmy Page and manager Peter Grant was driven by an informal honor system – in other words, a gentlemen’s agreement. Not that Page should have been concerned. Grant was honest, persuasive, forthright, and so loyal that he would inflict ultraviolence on anybody who dared threaten or cheat his act, and the accord between the two men was rock solid from the word “go.” Unfortunately, not all human beings are that trusting or trustworthy. Therefore, in the arena of internet startup enterprises, contracts are a must.
In addition to working out the pecking order, ascertaining where everybody’s talents lie and sussing out who agrees to what, it is especially important to cover important bases in terms of copyright, trademarks and patents, as each is designed to protect the intellectual property of a business right down to the logo. Without all of the above, a startup’s valuable ideas are vulnerable to theft at the hands of opportunists.
As exciting as it is to launch your own internet business, it is of utmost and absolute importance that you agree on the responsibilities each of key player and especially make sure all the legal paperwork is taken care of with all the Ts crossed and Is dotted. At a glance, this may seem daunting and does slow the process of getting an idea and a business up and running. All the same, it is of absolute import that you protect your startup, your business associates and yourself.