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Prepping for Exit - a Founder’s Perspective on M&A - Issue #32

Issue #32 — View online — Suggest a link
Prepping for Exit - a Founder’s Perspective on M&A

Is it time to consider selling your startup? Looking for a founder’s perspective? Dave Parker is a five-time founder with >10 exits. This reading list is practical advice on prepping for exit, pricing and the process.

What is this thing you call due diligence anyway? Let’s start with the Due Diligence Checklist.

Startup Sell-Side Due Diligence Checklist
Startup founders have a lot of things to keep track of during the early stages of their company and through the growth stage. For some, they’ll need to come back to some corporate hygiene items they’ve neglected. Over the next few weeks, I’ll break down some of the items in each of the categories below to help better understand what you can do to be prepared for an exit.
You can download a checklist version of this list at the bottom of the page here.
These documents and folders will be added to a dataroom like OneHub - think more features than a Google Drive, things like tracking history and watermarks.
Here’s your starting list. Let me know what questions you have as we go!
Organizational Matters
  • Articles of Incorporation
  • Bylaws
  • Minutes
Founder Matters
  • Stock Purchase Agreements
  • Vesting Schedules
  • IP Assignment Agreement
Financial Statements
  • Balance Sheet
  • Income Statement
Security Issuances
  • Prior Fundings docs
Employee /Service Provider Agreements
  • List of all persons providing services
  • Current and past employees
IP
  • Patents, Trademarks, Copyrights
  • Domain Names
Material Agreements
  • Standard Form Agreements
  • Insurance
  • Indebtedness
Leases
  • Real Estate
Disputes/Litigation
  • Any correspondence or documents threatening action
Regulatory Matters
  • Inquiries or applications
Taxes
  • CPA Firm
  • Tax Returns
Next week, we’ll break down where to start for the major categories.
Share This:
Why M&A Due Diligence Is So Important: A Cautionary Tale | Startups.com
Surviving the M&A due diligence process | DocSend
Techstars Startup Digest Prepping for Exit - a Founder’s Perspective on M&A is curated by:
Dave Parker Dave Parker
dave.parker@startupdigestmail.com
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