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Remote work is now standard, and startups are finding creative ways to reduce overhead costs while staying on top of their work. One increasingly popular choice is hiring a virtual general counsel—a legal advisor who works remotely to provide the same services as an in-house lawyer. This gives startups access to expert legal support without the costs of maintaining a full-time, in-office legal team.
But what exactly does a virtual general counsel do, and how can startups work effectively with one?
Startups always need loads of contracts in place. A virtual general counsel manages these agreements to protect the business legally.
For example, a startup working with a third-party app developer may need to clarify that any code developed belongs to the startup. A virtual, outsourced general counsel ensures the contract reflects this.
Understanding laws and regulations can be tricky for startups, especially those operating in multiple states or countries. A virtual general counsel can help you stay compliant with all relevant laws and avoid fines and other penalties.
Example: If your startup collects user data, your GC will ensure compliance with laws like the GDPR or CCPA, which could otherwise lead to hefty fines if violated.
Your ideas, branding, and innovations are valuable. A virtual general counsel ensures they stay protected.
Example: If another company starts using a logo similar to yours, your GC can act quickly to issue a cease-and-desist and protect your brand.
Some people think legal services need to be in-person to be effective. This is not true. Virtual general counsel offers the same quality of service remotely, often at a fraction of the cost.
Technology enables seamless collaboration. Virtual GCs use tools like video conferencing and document-sharing platforms to work with you just as effectively as an in-house team.
To make the most of a virtual general counsel, startups need to set up systems for smooth collaboration.
Working with a virtual GC requires tools that make communication and document management easy:
These tools ensure that distance doesn’t interfere with productivity. In most cases, an outsourced general counsel will work with the tools you have, or make suggestions for the tools they use that could help with virtual legal proceedings.
E-signatures are legally valid in the U.S. under the ESIGN Act and are, in most cases, just as enforceable as physical signatures. Although widely used, your legal counsel will advise otherwise if an e-signature is not appropriate for the matter at hand.
E-signatures save time and make remote collaboration with your GC efficient.
Clear communication is key in any virtual working relationship. Let your GC know exactly what you need, whether drafting contracts, managing compliance, or advising on a funding round. Regular check-ins help both sides stay aligned.
For example, if you’re preparing for a product launch, let your GC know the timeline and any specific concerns, like ensuring compliance with advertising regulations.
Yes. Virtual general counsel uses encrypted platforms to protect sensitive information. Tools like DocuSign offer additional security features, such as identity verification and audit trails.
Virtual legal services follow the same confidentiality rules as in-person counsel. Your data and communications are protected by attorney-client privilege.
For most startups, yes. A virtual or outsourced general counsel working remotely offers all the same services without requiring in-person contact. As your business grows, you can scale their involvement as needed.
Hiring an in-house lawyer is expensive. A virtual general counsel provides the legal expertise you need without the overhead. They’re also flexible, adapting their services to your needs as your startup evolves.
Example: A startup entering its first round of funding may need help negotiating investor agreements. Later, the same GC can assist with compliance as the company expands internationally.
A virtual general counsel will quickly become a valuable partner in your growth. They help you stay compliant, protect your ideas, and navigate fundraising and scaling operations challenges. To get the most out of this partnership:
With the right setup, a virtual GC becomes an invaluable part of your team. They help you focus on growing your business while they handle the legal details. If you think working with a virtual, outsourced general counsel may be right for you, Uncommon Counsel wants to hear from you!
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