As startups we need to be very mindful of everything we put out into the market place, it is very easy in the beginning to “fudge” a few facts here and there to make your operation appear larger than it is
I have to admit, when it comes to setting up the legal side of things within your business, I am hesitant to use the basic template based offerings that currently exist in the market.
Things are progressing well at your start-up. Despite not knowing how to code, you found a talented engineer who loves your idea. Over a hand-shake deal and several cash payments, he’s been building your app for six months and there’s plenty more features to roll out. He still does the odd job for other start-ups, but yours takes up 90% of his time – he even spends five days a week with you at your co-working space, which you pay for.
A common theme with start-ups is the hunt for cheap (read: free) labour – and with a pool of eager-beaver workers (read: students looking for a CV-booster) putting their hand up to work for peanuts, it is very tempting for over-worked founders to get some “interns” to share the load.
It is becoming a trend in the startup scene to “get an intern” – but there is a definite misconception out there between someone working for free and an internship, which by definition is basically an educational program in which majority of the benefit should go to the intern NOT the company they are working for.