What’s the biggest legal mistake startups and creators make when starting a business?
Bahar Ansari's Answer
Quick Answer
Creatives and founders should prioritize written contracts over handshake deals to avoid issues as their business and revenue grow.
Key risks of waiting too long
Potential Risk
Increased likelihood of disputes without written agreements.
Potential Risk
Potential financial setbacks due to lack of formal contracts.
Potential Risk
Difficulty in enforcing verbal agreements if issues arise.
Potential Risk
Legal complications as the business scales without proper documentation.
Full Transcript
Below is an AI-generated transcript of the video answer.
The one mistake that I always see creatives and founders make is they just let things be,
and they want to see how it goes. They trust handshake deals too much, and they think because
their pre-revenue or their business is small, they don't really need official or written contracts.
And problems don't come up then when they don't have it, but as they grow and as their revenue
grows and their company grows, that's where issues come up from lack of contracts or structure in place.