Rebecca offers her insight into what legal documentation startup Founders should consider alongside Louise Knutsson Founder of Matches Talent. Louise is an entrepreneur with over  a decade running businesses and a recent client for shizl. Having experienced many key moments in a business's lifecycle, Louise is keen to share how having the right legal documentation has been essential, but at times financially hard-hitting. Therefore, finding shizl has been game-changing for her. Starting a business is exciting, but it's crucial to lay a solid legal foundation from the beginning. This not only protects you from potential pitfalls but also sets the stage for sustainable growth and a successful future and exit.

Why legal documentation matters

Rebecca offers, “think of legal documents as the bedrock of your business. They clarify relationships, define responsibilities, protect your valuable assets and manage your risk exposure. Without them, you're exposed to unnecessary risks that can hinder your progress and even threaten your business's survival. Investing in these essentials early on not only provides protection and peace of mind, but it secures your company's long-term health, prosperity and success.”

Key legal documents every entrepreneur needs:

• Employment contracts: these are fundamental. A well-drafted employment contract clearly outlines the terms of employment, protecting both you and your employees. It sets expectations, minimises the risk of disputes, and is particularly important in regions with evolving employment regulations. As Louise Knutsson, founder of Matches Talent, emphasises, "Without employment contracts with clear, concise details and explanatory notes, we would not have the positive long-term employer-employee relationships we have."
• Service agreements: whether you're dealing with clients or suppliers, service agreements are essential. They define the scope of work, payment terms, and responsibilities, minimising liability and providing a framework for resolving any disagreements. For Matches Talent, these agreements are crucial for ensuring clarity with both clients and candidates. "Ensuring clients and candidates are clear on their responsibilities to us as a business is vital for Matches Talent’s success," says Knutsson. "Without our clear contracts, we would not be able to operate, or give the best in class service we offer." These agreements also demonstrate the value of your client base, a key factor in any potential sale of your business
• Intellectual Property (IP) protection: your IP is one of your most valuable assets. Protecting it is paramount. Rebecca warns about the devastating consequences of inadequate IP protection. "I've seen companies looking to sell their business have the value slashed because they haven't had the proper legal documents in place," she says. She's also encountered businesses that have used third-party creators only to discover they don't actually own the IP because there was nothing in writing transferring ownership. This is a hugely stressful situation and can be a major barrier to any potential sale. Rebecca recommends that you have clear agreements in place to secure ownership of your IP and, importantly, ensure you can easily locate these signed contracts when needed

shizl provides legal documents covering all the above and more, written in clear, easy to understand terms together with explanatory notes. shizl allows you to create documents, customise them and send them for signature electronically. 

Beyond the startup phase

Louise expands: “Beyond the very startup phase of business, these documents can help you build a case for investment, or, in my situation, a case for an asset sale. Having the correct documentation in place enabled me to buy back my business from investors, who I felt did not have the same vision as me for my business. At this point, shizl did not exist and so I spent a good deal of time and money creating business cases for financial institutions, shizl would have enabled me to have all my documents in one place at the same time, benefiting from the cost-effectiveness of the subscription. As an ambitious entrepreneur I like to expand my offer in new directions. I currently run a successful executive search practice, a coaching business and I also run a mentor retreats for female professionals and business and leadership retreats. I need my legal documents to be as agile as my business is so I can afford to be creative in my offer. Working with shizl frees up my time to run my business ventures without excessive time and expenditure of running the business through lawyers.” 

The bottom line: be proactive, not reactive

Don't wait until a problem arises to address your legal needs. A proactive approach is always best. Investing in these essential legal documents from the outset will save you time, money, and stress in the long run. It's an investment in your business's future, providing a solid foundation for sustainable growth and success. Protect your business as it is established – you'll be glad you did. shizl allows you to not only invest in such essential documents, but to do so in an incredibly cost effective and simple manner.

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