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Equity Lawyers

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Get started with a free legal assessment to identify your organization’s strengths and potential legal gaps.organization’s strengths and potential legal gaps.

FUNDRAISING

Managing equity.

Use Equity Based Financing to exchange shares in your company for an investment with no repayment obligations.
Confirm the best form of funding 

Avoid problems down the road
Learn about useful terms 

Avg price range

Costs largely depend on the complexity of the project, location, and other details. Speak with our experienced project managers to get an exact price based on your unique project requirements. 
 
*Estimates shown
  • EQUITY FINANCING PROJECTS

$700 - $1,600 avg.

LawTrades
Traditional Large Firm


The legal behind equity

Equity financing is a method of raising capital by issuing stock in your company to investors. In exchange for the investment, the shareholders receive ownership interests in the company. If you’re starting a business, and are looking for an alternative to taking out a loan, equity financing is a solid option. Stock is a type of equity that’s commonly referred to as an equity investment. When investors buys stock as an equity investment, they’re expecting its value to increase and to derive income from its dividends or the profit you make from its sale (called capital gains).

Common investors of equity include friends and family, venture capitalists, and angel investors. Equity financing is a useful way to fund your business, provided you have the right type of business. Although it can be an alternative to bootstrapping or debt financing, there’s more to it than that. Be sure to consult a qualified equity lawyer before entering into equity financing.  

The benefits

Confirm the best form of funding 

There are other attractive options for companies - such as convertible notes - and a lawyer can assess if those sources suit your business better.

Learn about useful terms 

An experienced lawyer has assisted startups with this process already and can suggest terms that have worked in the past. 

Avoid problems down the road 

By handling fundraising on your own, there’s a much greater chance of messing it up. Using an equity lawyer alleviates that concern, and we’re sure you’ll enjoy working with your equity lawyer at LawTrades. 

How it works

Evaluate.

Our legal team evaluates your business needs and designs a custom solution for your legal strategy.

Deploy.

We deploy the right legal talent to the right projects– both aligned with your company's culture and priorities.

Integrate.

We onboard your lawyers and they start contributing, supported by our senior legal staff.

Iterate.

Expand and contract work based on the fluctuating needs of your business.

How it works

Evaluate.

Our legal team evaluates your business needs and designs a custom solution for your legal strategy.

Deploy.

We deploy the right legal talent to the right projects– both aligned with your company's culture and priorities.

Integrate.

We onboard your lawyers and they start contributing, supported by our senior legal staff.

Iterate.

Expand and contract work based on the fluctuating needs of your business.

Reviews

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What people
are saying

(100+ Positive Reviews)

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Reviews

Christian C.

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I found LawTrades through an eNewsletter called The Hustle, right around the time I was filing for some trademarks. I thought it would be a good opportunity to try out this service. It was SO EASY. LawTrades hooked me up with a Trademark Lawyer who was very knowledgeable, and he had GREAT COMMUNICATION skills. I felt like my business was in great hands, and I've already recommended a few colleagues to use LawTrades. I will definitely use them again, the next time I require legal services. Yes!

Azeem K.

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I NEVER post reviews but these guys are on to something. I've used the service a few times and it's awesome. For things that my lawyer would charge me a ton of $ for, I'm able to do at a fraction of the price and manage all of my open items through the system. The lawyers on there are pre-vetted and great to work with, haven't had any issues. They also offer other free resources like contract templates, best practices, etc. I recommend them to my friends when I can.

Mohamed M.

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Both times I’ve had the experience any startup founder wants - a simple, quality experience, delivered quickly at the best possible price. That’s what I feel I got. After having a terrible 4 month long experience trying to set up a local US business bank account (being a non US resident) with one branch, which eventually fell through, both Jared and Ashish helped me establish an account with one of their partnered banks in a matter of weeks, for a grand total of $0. Massive pain killer. Disclosure - I was paying for other services (Terms of Service, Privacy Policy, company setup etc), but they knew this banking situation was causing me serious problems and they helped facilitate the opening seamlessly, and as Shane Ballman mentioned above, without nickle and dimeing.

Frequently asked
questions

Do I need an equity lawyer to help my company with equity financing?
Equity financing is complex stuff. The documents used are typically filled with legal and investing terminology, making it hard for regular people to understand. Working with an experienced business lawyer will enable you to understand the financing agreements your company enters into and assure that the deal makes sense for your business.
Should my company raise funds by equity financing or convertible notes?
Both forms of fundraising have pros and cons and a skilled equity attorney is the best to gauge which route is most appropriate for your company. Equity financing allows you to raise funds without tying yourself down with the obligation to pay back a specific amount of money to investors at a specific time in the future. On the other hand, convertible notes allow you to retain control and ownership of your business, but require repayment. In terms of ease, a convertible note is certainly preferred over equity financing as it can be written in just a few pages whereas drafting an equity agreement requires due diligence, valuation assessment, SEC compliance, and negotiation.
What is a term sheet?
A term sheet is a document which outlines the general terms of a financing agreement between a business and an investor. It essentially serves as a blueprint for the final agreement between the parties, as well as a formal investment contract that documents the arrangement. The key offerings include amount raised, price per share, pre-money valuation, liquidation preference and more.
What is an angel investor? A venture capitalist?
An angel investor is typically a high net worth individual who provides an emerging company with capital, in exchange for equity (ownership) or convertible debt. On average, angel investors receive about a 15% post-seed equity position in startup companies. This percentage can be a bit higher or lower depending on the circumstances and negotiations. Venture capitalists (“VCs”) are individuals or firms that manage funds set aside to invest in new businesses. Modern VCs tend to focus on young, high-growth companies, which are usually tech startups. This type of equity investor differs from friends and family and angel investors in that they are usually only interested in high value investments.
Do I have to report equity financing to the U.S. Securities and Exchange Commission (SEC)?
Certain forms of equity financing are required to be registered with the SEC. A lawyer can help you with this potential reporting requirement.