Best Practices For Defense Tech Startup Financing

Best Practices For Defense Tech Startup Financing

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In an expert analysis published by Law360, Partners Stephanie Evans, Gary Schall and Jason Chipman deep-dive into best practices defense technology startups should consider when navigating the expanding defense tech subsector of the emerging company ecosystem. In general, startups should prepare for the foreign investor issue, choose their funding source and carefully manage available funds. Associate Connor McRory contributed to this article.

Excerpt: “Defense tech startups should consider all potential sources of funding and evaluate potential investors thoroughly. As discussed above in the context of foreign investors, the source of financing can be mission-critical. Beyond determining the financing instruments for raising capital — including debt, equity, simple agreements for future equity and convertible notes — defense tech startups should seek investors experienced with the government customer.”

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