Emerging Growth & Venture Capital
Seed through late-stage rounds, fund formation, and the everyday questions in between.
Strategic legal guidance for startups and the investors who back them.
We represent emerging growth companies at every stage of the venture lifecycle—from formation and seed rounds through Series A, B, C, and beyond. Our attorneys have decades of combined experience advising founders, management teams, and investors on capital formation, corporate governance, equity compensation, and day-to-day legal matters.
On the investor side, we counsel venture capital funds, angel groups, and strategic corporate investors on fund formation, portfolio investments, co-investment arrangements, and LP relations. We understand the economics and market terms that matter, and we move quickly to close deals without sacrificing quality.
Many of our clients engage us as their outside general counsel, giving them access to senior-level legal expertise without the cost of building an in-house legal team. From contract review to board governance to strategic planning, we serve as a trusted extension of your organization.
Services
- Fund Formation
- Capital Raises
- Corporate Governance
- Outside General Counsel
- Contracts
Frequently Asked Questions
When should a startup hire outside general counsel?
Startups should consider outside general counsel when they need consistent legal support across multiple areas—contracts, employment, compliance, fundraising, IP strategy—but don't yet have the budget or workload to justify a full-time in-house attorney. Outside general counsel (OGC) provides senior-level expertise on demand, typically at a fraction of the cost of hiring internally. At Sigma Law Group, our OGC clients gain access to attorneys with BigLaw training and startup experience who understand the pace and priorities of high-growth companies. We handle everything from vendor negotiations and employment matters to board governance and strategic planning, serving as a seamless extension of your team.
What should I expect in a Series A term sheet?
A Series A term sheet outlines the key economics and governance terms for your first institutional financing round. Key provisions include: valuation (pre-money and post-money), liquidation preferences (typically 1x participating or non-participating), board composition and control rights, anti-dilution protection (weighted average vs. full ratchet), voting rights on major decisions, and founder vesting schedules. The term sheet also addresses option pools, drag-along rights, pro-rata investment rights for future rounds, and information rights. Our team reviews term sheets to ensure founders understand the trade-offs, negotiate favorable terms, and close rounds efficiently. We've handled dozens of venture financings and know which terms are market-standard and which require pushback.
How do I structure equity for co-founders?
Co-founder equity should reflect each founder's contributions, roles, and commitment while protecting the company if someone leaves early. Best practices include: equal or negotiated splits based on expected contributions, four-year vesting with a one-year cliff (standard in venture-backed companies), restricted stock subject to vesting rather than options, and clear buy-back rights if a founder departs. Document everything in a written founder agreement or restricted stock purchase agreement before incorporation or immediately after formation. We help founding teams navigate these conversations, draft founder agreements, implement vesting schedules, and file 83(b) elections to minimize tax liability.
What legal documents does a startup need before raising capital?
Before approaching investors, ensure you have: (1) proper entity formation (typically a Delaware C-Corp for venture-backed startups), (2) cap table documentation showing founder equity and vesting, (3) IP assignment agreements from all founders and early employees, (4) a board structure with proper governance resolutions, and (5) standard employment and contractor agreements. Investors will conduct legal due diligence, and missing or poorly drafted documents can delay or kill a round. We provide formation packages that cover all these essentials, ensuring you're investor-ready from day one.
Contact us to discuss your startup or venture capital needs:
Phone: (215) 608-6588
Email: info@sigmalawgroup.com