Shoobx has partnered with attorneys to launch a fixed-fee legal services offering that connects startup companies with the representation they need at a price they can afford. The offering, called Legal Services on Shoobx, combines expert attorneys and automated legal workflow technology to take startups from the creation of their company to their first fundraise, a crucial milestone for businesses looking to scale their operations to the next level.
Michael Jabbawy, a partner in the emerging company and VC group at Morse, a Boston based tech law firm, is pioneering the program as the first attorney to provide this fixed-fee representation for startups. Through automation of his client’s legal activities on the Shoobx platform, Jabbawy and his team at Morse are able to forego the traditional model of billing by the hour and instead cap legal fees for a startup company’s initial corporate and equity financing work. Jabbawy and his clients leverage Shoobx for board and stockholder relations, fundraising, employee hiring, equity management, and document management.
“Working with companies on Shoobx means that I can rely on a technology which facilitates the preparation and execution of legal documents at a tenth of the cost while focusing on what really matters to my clients: providing high-value advice. This is truly an industry game changer,” explains Jabbawy.
Legal Services on Shoobx also puts companies in a position to automate their first equity financing for lower cost than a traditional financing: the capped company legal fee puts an upper limit on how much a Shoobx company will be charged for standard legal services during the company’s fundraise, preventing legal bills that can easily spiral out of control. Shoobx’s first of its kind automated equity financing workflow adds efficiency to the complex fundraising process.
“Too many startup companies are surprised by steep legal bills when they raise institutional capital. Driven by the clean up of accumulated issues or deferred fees, these bills can be equivalent to the annual salary of an engineer or two on their team. Startups deserve transparency and predictability regarding their legal costs upfront,” according to Jason Furtado, Shoobx CEO and co-founder.
At this time, companies that plan to incorporate through Shoobx and are headquartered in Massachusetts or New York can apply to work with Michael Jabbawy as their attorney under the Legal Services on Shoobx arrangement. Jabbawy is offering fixed-fee representation at $2,500 for twelve months of corporate-related work, and a capped equity financing fee of $10,000.
Companies interested in learning more about Legal Services on Shoobx can visit shoobx.com/legal-services-shoobx, or can apply directly through the Shoobx platform.
Shoobx is a legal operating system that leverages smart workflows to provide end-to-end execution of over 50 common actions for managing startup company’s HR, equity, fundraising, and governance. The standard legal documents startups need are generated from templates vetted by legal experts and incorporate what the system knows about their company, helping them to scale smarter and focus more of their valuable resources on growing their business.
Morse, a leading technology law firm, focuses exclusively on the core legal services that businesses need to succeed. For the past 25 years, the firm has helped businesses of all sizes—from startups to Fortune 1000 companies—in service areas such as Corporate, IP, M&A, Licensing, Employment, Privacy, Taxation and Litigation. In 2018, Morse’s emerging company and VC group closed over 85 venture financings totaling just under $1 billion of proceeds raised. Information may be found at www.morse.law. Follow us on Twitter @Morse.