Are You Investor Ready?

Table of Contents

Share at:

Raising money for seed funding is an exciting and stressful time. Between getting your pitch ready and finding investors, you’d be lucky to get a bite of food and a couple of hours of sleep in. Ensuring your business’s legal aspect is healthy, however, is just as important as ensuring you stay healthy. There is nothing worse than walking in to pitch fatigued and down with a cold, then realising that your business does not own any intellectual property.

Here are several tips to help you along:

1. Term Sheet

A Term Sheet is a great way to get started on your investment process. It is a flexible document that allows you to express your proposed terms of the investment. Handing a Term Sheet to prospective investors is a professional way to garner interest and open the door to further negotiations. Learn more about how a Term Sheet can help you and LawPath’s Term Sheet – Seed Investment.

2. Shareholders Agreement

A Shareholders Agreement governs the relationship between the shareholders of a company, normally created at the beginning of a business venture. Having a shareholders agreement is attractive for investors who want to ensure that their interests are and will be protected. Learn more about whether you need a Shareholders Agreement and LawPath’s Shareholders Agreement.

3. Employment Agreement

Having employment agreements in place for your current employees sets the tone for the business. Ensuring that the rights and obligations of your employees are clearly set out gives the potential investor(s) an added peace of mind. Learn more about the Employment Agreement and how it will benefit you.

4. Intellectual Property Agreement

Intellectual property comprises most of a small business’s value, and it is crucial that all the intellectual property is owned by the business. It is especially important that the ownership of any intellectual property of your co-founder(s) and/or employees are transferred to the business. Learn more about the Intellectual Property Agreement and gain insight into its essential features.

Unsure where to start? Contact a LawPath consultant on 1800LAWPATH to learn more about customising legal documents, obtaining a fixed-fee quote from our network of 600+ expert lawyers or to get answers to your legal questions.

Share at:

Simplify creating legal documents today

Browse through Lawpath's AI tools which can be used to draft, review and refine legal documents today!

Related Articles

How to exit a Partnership Agreement

Learn how to exit a partnership agreement. Understand the essential steps for withdrawal, buy-outs, and business dissolution to ensure a smooth transition.

When Do You Need to Register for GST?

Learn when you need to register for GST in Australia, including turnover thresholds, rules for rideshare drivers, and voluntary registration benefits.

Can you Dismiss an Employee on Maternity Leave?

Dismissal while on parental or maternity leave in Australia is not always illegal, but it can be tricky due to strict legal protections. Consult our guide for more details.

What is Genuine Redundancy? (2026 Update)

No longer require an employee to do their job? Learn about genuine redundancy, your employees’ rights, and your business's obligations in this situation.

What is the Difference Between a Public and Private Company?

Which business structure is right for you: public vs private company? In Australia, this depends on several factors. Read our guide to learn more.

Is it Legal to Change an Employee’s Role?

What are the legal implications of changing an employee’s role in Australia? This guide covers your obligations as an employer and employees' rights.