My co-founder quit. Then he used our IP, poached our team, and launched a competing startup. I could not raise any more capital.

He didn't just leave. He left, took the proprietary technology we'd built together, reached out to three of our engineers, and launched a direct competitor—with our own product. And legally? There wasn't much I could do. Why? Because we'd never signed an IP assignment agreement. The technology had been built before we even incorporated, and without a clear agreement assigning that work to the company, ownership was genuinely disputed. We also didn't have a confidentiality and IP assignment agreement—so there was nothing requiring him to assign the work he did after joining either. And no non-compete, no non-solicitation clause—which meant he was free to hire our own team and compete directly. Four documents every founding team needs on day one: 1. IP assignment agreement—assigns everything built before the company was formed to the company. If you coded the prototype in your garage, this is what makes it the company's property. 2. Confidentiality and IP assignment agreement (CIIAA)—assigns all future IP created for the company going forward, and keeps confidential information confidential. 3. Non-solicitation clause—can't poach the team. 4. Non-compete—can't launch a direct competitor for a defined period. But here's the catch: non-competes aren't enforceable everywhere. California bans them outright. Other states limit them heavily. So you can't rely on this alone—which is exactly why the first three matter even more. These aren't just legal formalities. They're the difference between keeping what you built and watching someone else launch it. DM "STARTUP" and I'll send you my free startup launch checklist. #startuplaw #IPprotection #cofounder #founders #startuplegal