In answering the question of what type of law do you practice: “We do deals!” Cherin Law Offices provides a complete range of legal services from start-up to exit, and everything in-between.
At the start of every company, decisions need to be made as to what type of entity and what state or country to form in. We assist with this decision process, based on the proposed growth path, exit strategy and, taking into account, cost effectiveness.
- Corporations, non-profits and LLC’s formed in Pennsylvania, as well as other states and countries
- Determined to form subsidiary entities for investment purposes
- Formed special purpose entities for specific projects
- Converted limited liability companies into corporations
Subscription and Licensing
After forming an entity, it is critical to secure the rights to use all the needed assets and secure the services and intellectual property rights from those involved in developing the business. We put in place the appropriate subscriptions or license agreements to secure the needed assets to develop the business, as well as secure the services and rights needed to move forward.
- Subscriptions from founders to secure start-up funds and ownership of ideas
- Licensing from Universities of intellectual property
- Transfer of ownership in spin-outs and other subsidiaries
- Development of multiple classes of ownership to divide ownership based on tax and differing contributions
For many start-ups, additional capital is needed to grow and expand. We guide our clients through all forms of capital raising including friend and family, angel or angel groups, and venture capital. We represent both individual investors, angel, and venture capital groups, as well as the start-up.
- Start-up raised $200,000 convertible debt for energy-related technology
- Individual investor invested $500,000 in convertible debt and converted in follow up private equity offering for e-commerce company
- Long-term client raised $2M + venture capital investment for ramp up of business development and staffing
- Private Equity group raised capital to be invested in multiple early and growth opportunities ($5M +)
Stock Options and other Equity Compensation
For many companies, there is not enough cash to pay compensation at levels to attract and keep founders and employees or consultants engaged. In such cases, options and other equity compensation arrangements are needed. We assist in developing plans and arrangements to maximize incentives and tax benefits.
Stock option and restricted stock plans
- Phantom stock plans
- Profit-Interests for Limited Liability Companies
- Special arrangements for consultants