The Art of the Start-up

In partnership with CONNECT.

Program Overview:
For entrepreneurs, deciding to form a company, or become involved with a start-up, presents enormous challenges. Navigating around legal, fund raising and other issues can often seem overwhelming, and the traps for the unwary or uninformed are numerous. However, successfully avoiding the most common pitfalls made by entrepreneurs can make a significant difference as to whether or not a company is fundable, the sources and types of capital that will be attracted, who controls the company, the economic impact on founders upon exit, and a company’s likelihood of success. In this interactive half day workshop, Roger Rappoport and a panel of entrepreneurs will discuss these and other issues in three interactive sessions.

What you will learn:

• Start-up Issues Generally—including, choices in entity selection; an appropriate capitalization table, including how much stock to set aside for employees, consultants, board and advisory board members and the perils of Section 409A; Founders’ issues, including amount and allocation of founders’ stock, vesting, assignment of intellectual property, employment/consulting agreements and more;
• Developing and Executing the Right Funding Strategy—including a discussion related to seed, angel and venture capital funding, the impact of the Dodd-Frank Wall Street Reform and Consumer Protection Act, appropriate funding instruments for each round, including the pros and cons of selling equity, convertible debt, and venture debt; selecting, and gaining access to, the right funding partner; and valuation, and things to do to increase the pre-money value of the company.
• The Anatomy of a Term Sheet— a brief discussion on the anatomy of the term sheet, including, understanding the structure of, and the provisions that will most likely be included in, a venture financing term sheet; how to arrive at a realistic pre-money valuation; the economic impact of certain terms on existing shareholders; the provisions that affect the degree to which current founders and management will have to relinquish control of major and/or day-to-day decision making; and the most recent trends relating to liquidation preferences, participation rights, anti-dilution provisions, pay-to-play provisions, redemption rights, registration rights, rights of first refusal and co-sale rights, and more.

Who should attend:
Founders, CEOs, and managers who are looking to start a company and develop and implement a funding strategy or are seeking funding, as well as scientists and technology experts considering a business start-up in need of financing. Please no competing attorneys.

About the Presenter:
Roger Rappoport is a partner with the law firm of Procopio, Cory, Hargreaves and Savitch in San Diego, and leader of the Emerging Growth & Technology practice group within the firm. Mr. Rappoport has extensive experience counseling start-up and emerging growth companies in the information technology, telecommunications, life sciences and cleantech industries. He also represents high net worth individuals, angel and venture capital investors who focus on investing in companies in these industries. His practice includes corporate formation and entity selection, corporate governance, assisting clients with the development of a funding strategy and the alternatives available to entrepreneurs; venture capital and other private equity financings, convertible note and other debt financing arrangements, mergers and acquisitions, corporate reorganizations and restructurings, the implementation of equity incentive plans, licensing, OEM and VAR and distribution arrangements. Mr. Rappoport is a frequent speaker and panelist on topics and issues related to the development and implementation of a company's funding strategy, positioning a company to maximize its pre-money valuation, the art and benefits of selecting and partnering with the right investors, and effectively negotiating the terms of a debt or financing transaction.

Note: A light breakfast will be provided for participants.

To register, please contact Linda Wells at lmwells@connect.org or at 858-964-1319.

Fees: Pre-Registration $45.  At the Door $65.
*Note: Registration will close on or before September 15
Register Here