Michelle McGovern’s Post

Congratulations to Pedro Chueiri, Larissa Campos M., Fabio Baum, André Corradi, and Laura Parolin at Bronstein, Zilberberg, Chueiri & Potenza Advogados advising Riverwood Capital on its investment in Amigo Tech read more on Global Legal Chronicle powered by PBV Monitor

Health professionals are an innovative bunch. Our allied health client wanted to go into business with another allied health provider to develop a new product to support their patients. Our client had downloaded a free partnership template from the internet and thought they were all sorted.  But they’d chosen the wrong business structure. Our client and their collaborator both intended to continue operating their own separate practices, developing this product as a side venture. We advised that a specific ‘side hustle’ like that is best set up as a joint venture, whether or not a company is formed.  We were able to create a joint venture agreement that set out each party’s rights, obligations, and entitlements to the product when the joint venture came to an end. 🌟 👉 Explore our business and legal contracts case studies here: https://loom.ly/if4CMvk  #OnyxLegal #businesslaw #NorthLakes

Effective #boardgovernance at venture-backed firms is critical. One of the most important requirements of effective board governance is seemingly so obvious, specifically: KNOW THE BOARD’S DUTY.   What does that mean?    It means that the board has formal legal and #fiduciary duties. At most venture-back companies, formal boards have the #dutyofcare and the #dutyofloyalty.   The DUTY OF CARE means directors must, by law, exercise the degree of care an ordinary person would use when making key decisions and to obtain all reasonably available materials and inputs before making such decisions.   The DUTY OF LOYALTY means directors must, by law, act in good faith and in the best interest of the company and all shareholders.   To ensure we’re on the same page: directors’ loyalties are to the COMPANY, not to a PERSON (such as the CEO, founder, or other individual).   #Innovators who are taking other people’s money should understand and appreciate that the board must take actions to grow #shareholdervalue and maintain the health and viability of the enterprise.   Insomuch as the founder or entrepreneur is a shareholder, then the board will presumably offer oversight and insight meant to increase the founder / entrepreneur’s share value. They will do this only to the extent they do the same for all shareholders’. A board member may not represent a class of shares or an individual shareholder at the expense of other individual shareholders or classes of shareholders.   Boards have serious legal responsibilities, and they are supposed to keep the innovation and venture-finance world from becoming the Wild West. It is not all shoot-first-ask-questions-later; not all shoot-from-the-hip; not all instinct-and-ego. The board is an #oversight body that enables huge growth in huge ways and at the same time ensures the growth has #ethical and legal grounding.   If I could fix one thing about innovation culture, it would be getting board directors and venture-backed #innovators to mutually understand, appreciate, and respect this reality. William Devine Michael Goldberg Andrew Medvedev

A huge thank you to all that attended our webinar yesterday delivered in collaboration with Aahuti Rai and Alex Adams 🙌 It was a fantastic discussion with plenty of engaged delegates. Some key takeaways from the conversation: 🗂 "Compliance is sexy" - Our CEO Lyndon Johnson made a clear point that embracing compliance at an early stage can help businesses lay the foundations to scale and be successful. He also highlighted how having a clear Regulatory Roadmap is essential for businesses that wish to establish credibility with #investors and potential pilot customers. 👨💻 Bring clarity to your investor deck and pitch - Aahuti and Alex reiterated the importance of ensuring your investor deck tells a story. Joining the dots between market opportunities, regulatory strategy & commercialisation is essential for early companies looking for investment. Aahuti also reiterated the need for personalisation for investors - spamming your investor deck is no longer an option to broker effective introductions. ⏱ Don't wait till the 11th hour - Based on his own experience, Alex made the point that #startups especially in #healthcare must keep at eye out for subsequent rounds of investment and also not start the process at the 11th hour when they're short of cash. Whilst the #DigitalHealth market is still attractive to some investors, its perhaps not as lucrative as it was 2-3 years ago making fundraising tough. It was clear that there are many questions still to be answered and we hope we can facilitate another discussion in the coming months. Watch this space 👀

Collaboration and #licensing transactions are vital to driving innovation in the food & ag sectors. Join the next session of the Food & Ag Startup Legal Bootcamp on April 18, hosted by MoFo, UC Davis Venture Catalyst, and Aliment Capital, to learn how to reduce risk and negotiate such agreements for mutual benefit: https://bit.ly/3To1qGm #foodandagriculture

What trends and market conditions are impacting private equity physician deals? Attorney Anjana Patel discusses reasons physicians are exploring private equity opportunities, regulatory considerations for PE transactions, and more, on the American Health Law Association's Speaking of Health Law podcast. #Mergers #Hospitals #Healthcare

Our newest report explains the corporate pillaging that led Steward Health Care to declare bankruptcy in May 2024. The report details how private equity firm Cerberus Capital Management, aided by hospital landlord Medical Properties Trust, extracted significant profits from a struggling health system even as the system financially struggled. Find out more: https://lnkd.in/gGG4iFBU

Today on Lawyers Tell All - Bethany Corbin has been a lawyer for almost a decade and is passionate about helping early-stage women’s health innovators create and grow their companies to bring revolutionary digital health products to market faster. Following her own women’s health issue in which she was diagnosed with a grapefruit size tumor, Bethany moved from big law into building her own legal company – the first law firm in the U.S. exclusively serving women’s health founders. Bethany works with founders to ensure that we drive innovation in personalized health treatments for women. Tune in now and get Bethany Corbin’s thoughts on: 💠 How did you become the femtech lawyer? 💠 How did your passion for entrepreneurship motivate you to work with innovators? 💠 How do you help clients drive meaningful change in digital health? 💠 How does your current work differ from your earlier work in big law? Are there any similarities? 💠 What advice do you have for new lawyers or for lawyers considering opening their own firm? 💠 And much, much more! https://lnkd.in/eBAdWgEQ

"Private equity investment in the health-care sector reached a total of $750 billion in deals between 2010 and 2019, and more than 780 private equity deals were announced or closed in the health-care industry in 2023—the third-highest number on record, according to PitchBook, a venture capital data firm. The health-care sector became an increasingly attractive industry for private equity firms starting in the early 2000s. This was driven, in part, by aging populations and growing demand for health-care services, said Zirui Song, an associate professor of health-care policy and medicine at Harvard Medical School who has conducted several studies on private equity in health care." https://lnkd.in/gg2YyfhJ

I just finished a very informative webinar featuring Richard Susskind, David Lancelot, and David Ryan called “The Future of Legal Services” generously hosted by Providentia. My biggest takeaway came after Susskind reflected on a conference he spoke at for neurosurgeons. When asked what the future looked like for neurosurgeons, he respectfully suggested they were asking a loaded question – a question assuming there was a future for neurosurgeons. The better question, he asserted, was “how, in the future, will we address the problems neurosurgeons are solving now?” He recognized the incredible value neurosurgeons provide and the importance of their role in helping people today, but also posited that people do not want neurosurgeons, they want health. Neurosurgeons are simply the best answer in some circumstances to providing health – for now. He then turned the discussion towards the legal profession. "What is the future of lawyers?" Again, Susskind suggests this is the wrong question. What we should be asking is “how, in the future, will we solve the problems lawyers are currently addressing?” Thanks a ton to Providentia for putting on such a great series!