If you’re following along with our series of posts on the venture capital fundraising process, the next step in the process is the drafting of legal documents.
This part is generally led by the legal team for both the counsel and company. While the VCs and management teams need to stay involved and negotiate remaining business items, generally much of the detail gets resolved between attorneys. It is to a CEO’s peril to abdicate their responsibility at this stage. The details can often come back to bite. Strong attention to detail by at least one member of the management team is a necessity.
Sample legal documents can be found at the National Venture Capital Association website.