If you’re allowing an outside developer to take control of an integral part of your business, there is only one thing you need.
Well, make that two things – trust and an ironclad agreement. As hypocritical as that sounds, you truly do need both if you’re going to rely on someone to create your code.
First let me say, I’ve had some success starting 2 internet startups–1 of them involving work with outsourced devs–along with spending countless hours navigating startup legal issues.
Currently, I’m helping 100’s of startups get all their legal stuff done (including situations like yours!) with
Alright, now that we have the credibility out of the way, let’s get it on.
Just as with any type of relationship, trust is a big part of doing business with someone. If the trust is not there then it may be a wise decision to consider an alternative option. This ties into ethics, morals, etc.
On the other hand, you have to view the arrangement from a legal perspective and protect yourself in case something does go awry. That’s why it’s important to have a good agreement in place that specifically mentions for instance, the intellectual property assignment to your company.
Of course, given the complexity of such clauses it’s important to have an experienced startup lawyer a solid agreement for you (this is wherecomes in!).
A good article that touches on the subject can be found here –
Hope things go smoothly with your developer! If you have any further questions, please don’t hesitate to reach out 🙂