Daniel
29 Jun 2022

The 15 essential legal docs every startup needs

This article shares some of the legal documents that we used during Zelt’s journey to date. This is a great starting starting point for any new founder, COO, or people lead in The U.K.

Essentials for startups

Share option templates

EMI valuation application report

The first step in the process for a HMRC valuation for the issuing of EMI options is a valuation report. Within the report you will need to determine the Unrestricted Market Value – This is the market value of all shares as if they had no restrictions and could easily be bought and sold at the current worth of the company at the time – and the Actual Market Value – This is the market value of the shares after they have been restricted. Then you need to complete form VAL231 which can be found here.


EMI Valuation Report


EMI option agreement template

An EMI agreement gives the grantee (employee) the right to exercise the option to subscribe to shares within a specific time period. The employee needs to be a UK tax citizen.


Option Contract – EMI


Unapproved (non-EMI) option agreement template

A Non-EMI option agreement template between the company and an international employee or contractor which allows the employee to acquire shares in the company under specific conditions. It is very similar to the EMI option template.


Option Contract – Non-EMI


Company related templates

Board minutes

A Non-EMI option agreement template between the company and an international employee or contractor which allows the employee to acquire shares in the company under specific conditions. It is very similar to the EMI option template.


Board minutes template


Companies House filing template

A template used to file any ordinary or special resolutions with companies house. Resolutions refer to significant business decisions that take place within board meetings or AGMs. An ordinary resolution is one that requires a simple majority to pass, whereas a special resolution requires a 75% majority and is usually used for a significant change such as, a change of name or structure.


Companies house filing template


Affiliate agreement template

An affiliate agreement is an agreement between a merchant and an affiliate whereby the merchant pays the affiliate a fee for referred customers.


Affiliate agreement


Non-disclosure agreement template

A non disclosure agreement is a legally binding document that captures a confidential agreement.


NDA template


Assignment of intellectual property rights template

An intellectual property assignment is the transfer of an intellectual property so that the assignor is no longer the owner of that right.


IP assignment template


Employment Related Templates

Employment contract template

A standard template for employment contracts (read more on the risks of not providing a contract of employment). You can also find this template in Zelt smart contracts.


Employment contract template


Advisor agreement template

This document is a legal agreement between you and an advisor you hire. It sets out the expectations and obligations between your company and any advisor.


Advisor agreement


Non-executive director letter of appointment template

A non executive director letter of appointment is a formal agreement that appoints someone as an NED to a company. The letter lays out the responsibilities and the obligations of the NED within the company’s board.


Appointment of Director NED


Visa sponsorship application template

You need a sponsor licence to employ most types of workers from outside the UK. The process is more straightforward than what it may seem to be. Zelt is a licenced sponsor and we’ve completed all applications and sponsorship visa applications in-house. If you have any questions – we’re happy to share our experience.


Sponsorship Licence Application


Convertible notes

ASA conversion template

An Advanced Subscription Agreement (ASA) is an equity instrument where investors ‘pre-pay’ for shares in a company. Investors will hand over money to the company but will only receive the shares when they are issued at a future round. This document is used to confirm the conversion of outstanding ASA agreements.


ASA Conversion template


Convertible raise shareholder resolution template

A template to issue a shareholder resolution for a convertible raise.


Convertible Raise – Shareholders Resolution template