Understanding IP Due Diligence for Startups — the process of reviewing a startup's intellectual property assets and risks, typically before fundraising or acquisition — starts with knowing exactly what the process involves. Here's a step-by-step breakdown for startups preparing for investment rounds or M&A discussions.
Step 1
Compile a complete inventory of IP assets and their status.
Step 2
Verify ownership is properly assigned to the company, not individuals.
Step 3
Identify gaps like missing trademark filings or unclear ownership.
Step 4
Address gaps before diligence begins in earnest with investors.
Documents to Keep Ready
Before starting, it helps to have these ready so the process moves without unnecessary back-and-forth:
- List of all registered and pending IP assets
- Ownership confirmation — especially IP created by founders, employees, or contractors
- IP assignment agreements with employees and contractors
- Search for potential infringement risks in the business's own branding
- Licensing agreements involving third-party IP
- Domain name and social media handle ownership records
What to Watch Out For
IP created by early contractors never formally assigned to the company — this is one of the most frequent slip-ups at this stage, so it's worth double-checking before you proceed.
Need Help With This?
Leegal's team handles registration, compliance, and advisory work like this end-to-end, with transparent pricing and a dedicated point of contact throughout.
Call: +91 95721 91163 | Email: mail@leegal.in