Lathrop & Gage Consults bizperc Entrepreneurs May 22

The benefits of joining the bizperc coworking space seem endless—Roasterie coffee, inspirational views of downtown Kansas City and collaboration with like-minded entrepreneurs daily.  But now, bizperc is bringing an even bigger benefit to the coworking community: legal consulting hours from Lathrop & Gage.

On Tuesday, May 22 from 3:00-5:00PM, Colleen Graham and Travis McCallon of Lathrop & Gage meet one-on-one with bizperc members to help answer those percolating startup legal questions. 

Next week, Graham and McCallon will sit down with bizperc members to discuss different legal matters for startup businesses.  Graham, an expert in the corporate space, will guide entrepreneurs through business lifecycles (from formation documents to hiring employees to selling the company).  McCallon, on the other hand, will assist entrepreneurs with intellectual property questions such as copyright, trademarks, licensing and agreements.

According to Graham, associate at Lathrop & Gage, many entrepreneurs confront the law firm after a mistake has already been made.  bizperc’s consulting hours can help entrepreneurs prevent anything detrimental from happening in the first place.

“We see a lot of entrepreneurs when something goes wrong,” says Graham.  “These hours will help entrepreneurs avoid mistakes before they happen.  Entrepreneurs often need that extra knowledge and time.  It’s all about foresight.”

Graham notes that Kansas City has a large entrepreneurial market that has yet to be tapped.  The goal of both Graham and McCallon is to build positive relationships with some of these KC entrepreneurs and to help them succeed from start to finish.

To sign up for the bizperc hours with Lathrop & Gage, you must be a bizperc member.  Email Sarah at ssnyder@thinkbigpartners.com to register.  

Follow Lathrop & Gage! @LathropGage

Follow bizperc! @bizperc

Blogging Issues and the Entrepreneur

WRITTEN BY DONALD R. SIMON, CEO of Simon Business Consulting

For entrepreneurs, social media (which includes blogging) is an innovative way to promote one’s business.  Unfortunately, more and more stories are popping up about bloggers getting in trouble for what they post.  Just recently, a $2.5 million dollar judgment was handed down against one so-called “citizen journalist” for defamatory remarks posted on her blog.  Across the nation, courts have seen a spike in lawsuits associated with social media activities.

Like all journalists and publishers, bloggers sometimes post information that others may not want published.  These may include observations about a competitor’s products, services, management style, quality of work, etc.  Some such remarks are being increasingly looked at as potential violations of defamation laws, infringements of intellectual property, or invasions of privacy.

Defamation is a false allegation of fact that is disseminated about a person and tends to injure that person’s reputation.  The good news is is that truth is an absolute defense to defamation, but it may be difficult and expensive to prove.  And typically, fair comment and criticism is protected, but merely labeling a statement as one’s “opinion” does not necessarily make it so.

Unlike a reporter at a local newspaper, social media enthusiasts may not have the benefit of training or resources to determine the legality of their online activities.  Further complicating matters, most of our nation’s media laws were written for traditional journalists and courts haven’t yet decided how those laws apply to the blogosphere.

In a legal action, courts will look at whether a reasonable reader could understand the accused statement as asserting a statement of verifiable fact.  This means that context is critical!  When examining the blog, a court would likely start with its general tenor, setting, and format.  Next, a court would look at the specific context and content of the blog entry, analyzing the extent of figurative or hyperbolic language used.

But this is what happens after the lawsuit is filed.  The best strategy for an entrepreneur is to avoid costly and embarrassing litigation all together.  Steer clear of potentially defamatory utterances in the first place.  Do not rely on information from anonymous sources.  Finally, provide the targets of defamatory allegations an opportunity to respond.

Don’t let concerns about defamation stop you from blogging.  Freedom of speech is the foundation of a functioning democracy.  But before posting information, observations, or accusations about someone’s products, services, or business, make sure that your comments are grounded in fair and balanced observations based on personal experiences.  Don’t let blogging legal problems sidetrack you from Thinking Big!

 

Written by Donald R. Simon, J.D./LL.M., is president and CEO of Simon Business Consulting, Inc., a firm providing consulting services such as business and marketing plan development, incorporations, intellectual property advising, media relations, franchising regulatory assistance, and presentations on the basics of starting a small business.  Send questions or comments to don@simonbizconsulting.com.  This blog is provided as a source of information and is not to be construed as legal advice or opinion, or to form an attorney-client relationship.  For legal advice, please consult an attorney.

The Gigabit Challenge Welcomes Newest Partner, Polsinelli Shughart

WRITTEN BY ALLISON WAY, SENIOR COPYWRITER & CHIEF EDITOR 


Entrepreneurs are not the only ones getting involved in the Google Fiber initiative.  We have seen contributions from large corporations, from technology experts and obviously, from the government.  But we've also seen involvement from multiple Kansas City law firms.  And one of the firms that has caught Fiber fever and is actively involved in getting the Gigabit word out is none other than Polsinelli Shughart. 


Polsinelli Shughart first jumped on the Gigabit bandwagon when it helped to sponsor Building the Gigabit City on October 3, 2011 with The Social Media Club of Kansas City and Brainzooming.  At this event, Polsinelli helped to get the word out about Google Fiber's high-speed Internet access in the home and how it can change neighborhoods in Kansas City for the better.  The event was a huge success. 


And now, Polsinelli has further involved itself.  The KC law firm has decided to partner up and contribute to The Gigabit Challenge, a global business plan competition looking for the next big idea to build itself on the Google Fiber network.


As a popular Kansas City law firm that with practices in business, financial services, real estate and trials, Polsinelli Shughart was the perfect candidate for a Gigabit Challenge partnership opportunity.  The law firm has been one of the most involved in the Kansas City area when it comes to entrepreneurship, startups and business growth.  In fact, Polsinelli Shughart is most known for its legal work in the KC business world.  As a firm that helps any type of organization at any stage of life, Polsinelli Shughart has provided businesses from across the nation with savvy advice and imaginative solutions to legal problems.  Polsinelli Shughart has guided businesses through difficult legal troubles such as capital formation, tax strategy and intellectual property.  


Think Big Partners would like to formally thank Polsinelli Shughart for partnering up for The Gigabit Challenge.  It's the KC leaders like Polsinelli that have helped to make events like The Gigabit Challenge a success, which undoubtedly will create growth for the city today and tomorrow. 


Join us for The Gigabit Challenge Finale event on January 18th! Learn more and register here.  


Follow Polsinelli Shughart! @Polsinelli 
Follow me! @AllisonThinkBig

Simplification and Perceptivity of Forensic and Juridical Affairs for Neoteric Vocations and Coteries

AKA Understanding Legal Startup Issues So You Know What the Hell You’re Doing and Saying

WRITTEN BY ALLISON WAY, SENIOR COPYWRITER & CHIEF EDITOR

Warren Buffet may have said it best: “Risk comes from not knowing what you’re doing.”

Unfortunately, many times entrepreneurs do not know what they’re doing.  They’re constantly reevaluating their business plans, holding meetings blindly and talking with other seasoned entrepreneurs who may just confuse them.  The worst part of entrepreneurship is that you don’t know what you don’t know...especially when it comes to legal issues.

Entrepreneurs and small business owners have been turning to lawyers and legal consultants since startups began popping up all over the globe.  And startup legal issues couldn’t help but come running after them. Yet entrepreneurs still cannot seem to wrap their heads around the most important legal issues facing their businesses.  But could it be because legal explanations are just too complicated to understand?

Legal jargon certainly doesn’t help.  Limited liability.  Sole proprietorship.  Zoning.  Promissory notes.  Intellectual property.  Sure, these words sound pretty, but a lot of entrepreneurs may not know what they mean.  When lawyers or legal consultants do not fully explain the legal jargon that is used in small business legal matters, things can get a bit messy.  Luckily, we have books like How to Start a Business and Not Get Sued that give step-by-step guidelines to entrepreneurs starting a new business.

How to Start a Business and Not Get Sued was recently published in order to help startups understand what’s important when it comes to legal matters and entrepreneurship.  The book is written by Tom C. Brown of Brown Law Firm, a Kansas City-based business attorney who has been practicing for nearly four decades.  During this time, Tom has counseled hundreds of entrepreneurs to organized and grow their businesses.  But there’s more to Tom than meets the eye—he is an entrepreneur himself, starting up various restaurants, entertainment businesses and promotional products.  So what are his best pieces of advice?  First and foremost, Tom recommends knowing was legal matters you’re getting into.   

Don’t let legal jargon get in the way of protecting your company or moving forward.  One company that started out with a $1,000 investment let legal jargon get in their way of growth and development.  And when the company finally had the legal concept fully explained to them, the company boomed into a $500,000,000 Fortune 500 company.

Tom writes:

Two ladies approached me wanting to set up a hobby business so they could travel abroad and write off their business expenses as they shopped for jewelry to sell upon their return. 

When I asked what form of business organization would be best for them, I suggested an S corporate entity.  “What does that do?” they asked.  To answer their question, I formed a big circle on my conference room table with drink coasters.  Pointing to the center of the circle I said, “This is your company.  Everything inside is your company’s assets.  Everything outside represents your personal ones.  If the company is sued, which assets are at risk – those inside or those outside of the coasters?”  Pointing to the inside of the coasters, they both laughed and said “Now we get it.  We always thought it was the other way around!”

Sometimes, an entrepreneur just needs legal matters to be simplified.  Once their legal issues are explained properly, they can continue building a business without the fear of being sued.  So, entrepreneurs, I’m encouraging you to do this: ask the “dumb” questions.  You may be grateful that you did! 

Follow me! @AllisonThinkBig

Don't be a Winklevoss...be a Zuckerberg! The Must-Knows of Intellectual Property

"Does a guy who makes a really good chair owe money to anyone who ever made a chair?"  -- Mark Zuckerberg

The popular movie, The Social Network, isn't just about the founding of Facebook.   It's about entrepreneurship, competition, but perhaps most importantly; it's about intellectual property. 

In the movie (and I suppose in real life), the Winklevoss twins have a plan for an exclusive Harvard student network.  In the process, the twins are upstaged by Mark Zuckerberg, the creator of what is known today as Facebook.  In the film, Zuckerberg defends his online empire from lawsuits alleging that he stole the Winklevoss's idea; an intellectual property claim.  But when it boils down to it; who was right and who was wrong?  As we all know, Mark Zuckerberg won in the end...but should he have?

We're glad he did.  After all, we can't picture a day without checking our many Facebook accounts. 

Intellectual property is confusing.  But just as it's confusing, it's also extremely important to understand. So how can you, as an bright-eyed entrepreneur, guarantee that your incredible idea won't be stolen?  How can you prevent what the Winklevosses experienced?

Dianne Smith-Misemer and Jennifer Bailey of Hovey Williams LLP believe it all starts with awareness.

"We find that most businesses do have intellectual property assets," says Dianne.  "Many times, they just don't know it.  Early detection can save a lot of grief later."

Entrepreneurs need to be aware of their intellectual property rights -- which is the main reason why Dianne and Jennifer are holding the Entrepreneur Bootcamp session "The Top Ten IP Must Knows for Any Business: Identifying and Maximizing Your Patent, Trademarks and Copyright Assets" on Tuesday, November 1st at bizperc. 

"Intellectual property can be the largest asset of a company," says Jennifer. "But many people do not know how to protect it.  They do not recognize that they have innovation and technology involved in their business.  That's why we're holding this educational session."

"We are looking forward to the session!" adds Dianne.  "What I like about this area is seeing the excitement from entrepreneurs.  What people don't realize is that they are affected by trademark, patent and copyright decisions every day.  To bring everyday business experiences and see how they blend with intellectual property will be great for entrepreneurs at this session." 

This Entrepreneur Bootcamp session, the 4th of 6, has been designed for any entrepreneur.  Join the Hovey Williams team and Think Big Partners and bizperc on November 1st and 3:00 and learn how to become the next Zuckerberg -- not the next Winklevoss!  Register today!

Written by Allison Way
@AllisonThinkBig

Entrepreneur Bootcamp Tackles Legal and Accounting

Every startup struggles with the following question: “When should I get a lawyer involved?”  The costs associated with quality legal assistance can sometime seem overwhelming to the bootstrapping entrepreneur.  Yet the courts are filled with lawsuits that could have been easily avoided had a lawyer been consulted during the initial launch of the company.

Next week’s Entrepreneur Bootcamp will tackle “tough stuff”; all of the legal and accounting issues critical to starting a new business.  In this session presenters Tyler Prochnow of Think Big Partners and Jene' Poper Hong of Business Transition Specialists will answer these much-needed questions and more:

• Am I being penny wise and pound foolish?
• Am I being over-lawyered?
• Are lawyers like everything else; you get what you pay for?

Bootcamp will take place at next Tuesday from 3:00-6:00pm at bizperc in the Kansas City Crossroads. Whip your startups legal and accounting into shape and register today!   

Written by Laura Goede

@LauraGThinkBig

bizperc Perk: Legal Advice!

It's time for another bizperc perk!

This Thursday, Matt Salzman, Partner at Stinson Morrison Hecker, LLP will be returning to bizperc to provide the building's tenants with complementary legal advice.  Matt will be available from 2:00 - 4:00 PM to answer questions for the small business owners and entrepreneurs.  Tenants interested in meeting with Matt need to reserve time for a 30-minute session in advance.  

Interested in some legal advice?  Call Sarah Snyder at 816.842.5244 to book a reservation.

Written by Laura Goede
@LauraGThinkBig 

bizperc Perk: Legal Consultation!

bizperc tenants have another great perk coming their way!  First, there was popcorn.  Then, there were cold towels to refresh them on a particularly hot summer day.  But now, there is a perk that will not only give bizperc tenants peace of mind, but will also improve their businesses tremendously.

On Thursday, bizperc will start officially hosting legal office hours.  Matt Salzman, Partner at Stinson Morrison Hecker, LLP will be officing in bizperc from 3:00 -5:00 PM on July 28th in order to provide entrepreneurs and small business owners answers to their legal questions.

Tenants who are interested must reserve their time with Matt in advance.  Reservations will work as a first come, first serve basis.  The legal session will last approximately 30 minutes. 

But it gets better.  This isn't just a one-time bizperc perk.  Matt Salzman will make his bizperc appearance on a monthly to bimonthly occurrence so that all entrepreneurs, tenants and clients can be helped.

Interested in a meeting?  Call Sarah Snyder at 816.842.5244 to book your reservation.

Written by Allison Way
@AllisonThinkBig

You're in Big Trouble, Mister

LAUNCH & LEARN CANCELLED.  PLEASE CHECK BACK FOR A RESCHEDULE. 

Think Big Partners presents: Launch & Learn -- Legal Issues for Startups

We could all use a little legal advice...especially when starting up a new business.  If you're looking for some answers to your legal questions, check out our Launch & Learn educational seminar Legal Issues for Startups - Don't Let Your Legal Bills Swallow Your Company with Think Big Partners co-founder, Tyler Prochnow.

Participants can expect to:

• Learn factual information and practical knowledge from leading legal professionals with startup, entrepreneurial and investment experience
• Be involved in the exchange of ideas and a discussion of legal issues faced by entrepreneur
• Gain knowledge to do the things right from the start that will help you save thousands of dollars in professional service fees and potentially millions more from potential legal disputes

Join Tyler at bizperc (1800 Baltimore, KC, MO) from 11:30 AM until 1:00 PM on Thursday, March 31st and learn all about startup legal issues.  Cost is $45 and lunch is provided.  It's what every aspiring entrepreneur needs.  Hope to see you there! 

Register now!

About the Presenter: Tyler Prochnow's business career has taken a unique and diverse path to success. From the halls of government in Washington DC, to the sidelines of America's sporting landscape to the high tech world of software, Tyler's career has been defined by significant and varied business interests around the country. Prochnow began a successful law practice with Patton Boggs, LP in Denver then became an associate with the Lathrop & Gage law firm, specializing in marketing and advertising law. As a serial entrepreneur, Prochnow has become partner in many companies including Golden Peak Sports, Connexsus, LLC and ACS Properties, LLC. Since 2008, Prochnow has been a partner and co-founder of Think Big Partners, providing the company's clients with insight, consulting and advice on the difficult legal and business issues facing entrepreneurs today. With a legal background and as the founder and operator of multiple business ventures, Prochnow draws upon his own personal experiences to assist TBP clients through the difficult stages of their business lifecycle.

Written by Allison Way
@AllisonThinkBig



WARNING: Non-Competition Agreements & the Entrepreneur

There are many challenges that an entrepreneur may face—raising capital, sustaining the business, hiring effective employees—the list goes on and on.  And although you may be focused solely on your business, your sales, your employees, your success, as a result, you may lose sight of another important aspect: the competition.

As an entrepreneur, it’s important for you to understand the notion of non-competition agreements.  Believe it or not, this may be the one thing that is standing in between you and your small business.  If you have signed a non-competition agreement (often referred to as a “non-compete”) with a former employer, you may find a few roadblocks on the way to self-employment.

Non-competes are often signed at the beginning of a term of employment and kick in at the end of the employer/employee relationship.  They are for the protection of the employer’s trade secrets, business plans, marketing strategies, customer lists, etc.  Most non-competes specify a specific time and geographic area that the former employee is to refrain from engaging in activities that will place him or her in direct competition with the former employer.

Generally speaking, in states where non-competes are legal, they will be enforceable if, at a minimum, they are:

1)     Designed to protect the former employer’s legitimate business interests;

2)    Limited both in duration and in geographical area; and

3)    Not contrary to the public interest.

Courts generally disapprove of non-competes that are so broad that they unfairly impede a former employee’s right to earn a living.  If a court finds a non-compete overbroad, it may narrow the duration and/or scope of the agreement or refuse to enforce it all together.

So if think you may be covered by a non-compete, here are a few things to think about:

1)    Non-competes must be reasonable in duration.  Generally, the time frame ranges from one to two years, but may be as high as five.  If the former employer’s restriction prevents you from doing business for an excessive amount of time, it is probably too broad. 

2)   The geographical area covered by the non-compete must also be reasonable.  Generally, courts will not allow a non-compete to prevent you from working in a geographic area where the former employer does not do business.

3)   Even if you think your non-compete is overbroad or unreasonable, seek out some legal guidance first to discuss your rights and risks.

Enforceable non-competes are about the balancing of interests.  Employers have a legitimate right to protect their customer relationships and confidential information, but former employees also have a right to earn a living in their chosen endeavor.  If you have questions about your non-compete, consult a business attorney.

With all of the challenges of launching a startup, it is easy to miss something like non-competes.  Don’t let this important factor sidetrack you from Thinking Big!

 

Written by: Donald R. Simon, J.D./LL.M., is president and CEO of Simon Business Consulting, Inc., a firm providing consulting services such as business and marketing plan development, incorporations, intellectual property advising, franchising regulatory assistance, and presentations on the basics of starting a small business.  Send questions or comments to don@simonbizconsulting.com.  This blog is provided as a source of information and is not to be construed as legal advice or opinion, or to form an attorney-client relationship.  For legal advice, please consult an attorney.

Edited by: Allison Way.