As we covered in prior blog posts, on Tuesday, November 5, 2013, Foley & Lardner LLP hosted the ninth annual FoleyTech Summit in Boston. One of the breakout sessions at FoleyTech featured a panel discussion of leading innovators in the realm financing for “Big Data” processing companies, called “Big Data: Finding the Money.” The panel was moderated by Beth J. Felder, a Foley partner, and included the following panelists: Mohamad Ali, Chief Strategy Officer, Hewlett-Packard; Liam Donohue, Co-Founder and Managing Director, .406 Ventures; Scott Friend, Managing Director, Bain Capital Ventures; Chris Lynch, Partner, Atlas Ventures; and Steve Papa, Chairman, Infinio. The main question the panelists faced: If you’re a growing company looking for funding from sources interested in Big Data, how do you get it? Continue reading this entry
If you’ve been keeping tabs on strategy for franchise tax payments in Delaware, you’re probably already aware that annual reports and franchise tax payments are due in the near future. For for-profit corporations filed with the Division of Corporations of the Secretary of State of Delaware, the annual report and franchise tax payment is due on or before March 1, 2014.
Entrepreneurs understand risk. They are used to squeezing the most value out of every dollar by evaluating the cost and potential upside of every decision. However, many lawyers are uncomfortable with this approach. They have been trained to perform comprehensive research and provide a definitive answer based on that research: The one hundred percent solution. Many clients also expect – and are willing to pay for – this one hundred present solution. Continue reading this entry
When rumors start swirling that a company is thinking about going public, two groups often come running. First to the front door are the investment bankers, who want to both take you to the IPO and represent you afterwards on secondary offerings, acquisitions and the like. Right behind the bankers are often the strategic acquirers. Continue reading this entry
Delaware is the state of incorporation for a majority of venture-backed and publicly-traded corporations. The Delaware courts have developed considerable expertise in dealing with corporate issues and there is a substantial body of case law construing Delaware law. As a result, investors are familiar and comfortable with Delaware. Delaware law and courts are also deferential to directors and management, looking skeptically on frivolous stockholder litigation and providing protections against hostile bids.
For all of its benefits, Delaware has convoluted methods of calculating the franchise tax payable by corporations for the privilege of being incorporated in the state, which can result unnecessarily high bills without some advance thought and planning. Of course, large corporations with substantial assets will have significant franchise tax obligations (up to $180,000), but there is no reason for smaller corporations to be getting stuck with large bills. Continue reading this entry