Operating Agreements & Bylaws
Operating Agreements & Bylaws are the governing documents for your new company. They layout how the business will run, who will have the power to do what, and how shares of the company can be sold or transferred (among many other things!) The pre-planning process is a great opportunity to sit down with the other Founders and answer all the HARD questions now, while everyone is still getting along. Your new business will be the engine that powers your economic success well into the future, the Operating Agreement (or Bylaws) is the first step towards making sure the engine will run smoothly for years to come.
Founder's Agreements are additional agreements between the Founder's of a company that expand on the subjects in the Operating Agreement and Bylaws. Specifically, Founder's Agreements may cover specific Founder's responsibilities or goals (tied to Vesting), transfer or ownership of original ideas, and transfer of a specific Founder's shares. Founder's Agreements serve to secure key talent the Company may need to be successful.
Non-Disclosure Agreements (NDAs)
Non-Disclosure Agreements are contracts by which one or more parties agree not to disclose confidential information that they have shared with each other as a necessary part of doing business together. NDA's are critical when multiple Founder's are bringing their own creations to the Company as part of their investment (as is often the case in software development), or when your company is engaging outside third parties as part of the Company's development (having a product manufactured in China or Romania for example).
Employment Agreements will become an integral part of growing your Company and set out the expectations, rights, and obligations that will govern the relationship between the Company and Employee. When you hire an employee for the first time, make sure you have an Employment Agreement - it can be simple, fast, and will make sure you are complying with Wisconsin law!
State & Federal Tax ID Numbers (EIN)
Tax ID Numbers are required to open a bank account, apply for credit, and report employment tax withholding to the State.
Depending on the type or location of your business, specific business licenses may be required before your Company is allowed to operate.