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An angel investor that you pitched is considering offering your company (DevCo) a significant investment. If the consideration becomes more serious, there will be a

An angel investor that you pitched is considering offering your company (DevCo) a significant investment. If the consideration becomes more serious, there will be a due diligence process whereby the angel looks at DevCo's intellectual property and other assets. Taking the following facts into consideration, what should you do to fix any intellectual property problems before the due diligence process starts?

  • You started DevCo with two buddies five years ago.
    • Sam left DevCo in 2020, but still owns 20% of the shares.
    • Bai, you other buddy, is the CIO for DevCo. and owns 35% of the shares.
    • You are the CEO and own 45% of the shares.
    • The only agreement three of you have does not discuss intellectual property, just percentages of shares.
  • DevCo has ten employees. Two of them started at the very beginning and do not have written agreements.
    • DevCo pays one of those two directly.
    • The other is paid through a personal company called BSA Inc.
  • You worked on DevCo's technology, coding an early, very basic version of its software for a few months before starting DevCo.

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