Proposed International Entrepreneur Rule Gives Startup Founders Temporary Stay in U.S.
U.S. Citizenship and Immigration Services (USCIS) is proposing to grant work authorization to foreign entrepreneurs who raise substantial capital for companies they start.
- USCIS estimates some 3,000 foreign entrepreneurs may qualify annually.
- USCIS expects this new proposal to create jobs, facilitate research and development and increase innovation in the United States.
In this update, we provide details on the proposed rule as a possible option tailored to startup founders and entrepreneurs.
Click here to read the full article.
Post-Employment Exercise Periods for Stock Options
Holders of stock options must exercise their vested options within a certain predefined time period after they cease providing services to the company. This time period is known as the “post-termination exercise period” (PTEP). What is the standard PTEP? The standard PTEP is three months. This means…
Should We Include Transfer Restrictions in Our Bylaws?
Transfer restrictions are one of the principal tools that startups use to prevent secondary transfers of their capital stock and maintain tight control over their cap tables. The majority view in the market is that it is best to omit transfer restrictions from the bylaws because future…
What is the Difference Between “Pre-Money” and “Post-Money” Valuation Cap SAFEs?
The difference is in the potential dilutive impact of the SAFE on founders. Post-money SAFEs can dilute founders significantly more than pre-money SAFEs. When SAFEs with a valuation cap convert to equity in a future financing, the price at which they convert is determined as follows: SAFE…