Employment Agreement

, by Erik Byrenius

One might think that employments is one of those few areas where standard agreements already exist. I thought so too. Swedish law is pretty strict on what can and cannot be agreed between employer and employee, there are lots of legal precedent cases and the unions are strong in Sweden. (more…)

Unit Economics: CLTV, CAC and cohorts

, by Erik Byrenius

How much is a customer worth? How much does it cost to acquire customer?

If you can’t answer these basic questions, it’s hard to know if your business is sustainable or not. Your unit economics analysis will help you answer these questions. In this blog post, I will guide you through how I use unit economics to better understand a business. We’ll take a look at customer lifetime value (CLTV), retention data and customer acquisition cost (CAC), as well as discuss how to use them.

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Subscription and Shareholders’ Agreement

, by Erik Byrenius

After you have agreed on the term sheet (signed or not), the investor will start the final parts of the due diligence while the subscription agreement (Swedish: investeringsavtal) and shareholders’ agreement (Swedish: aktieägaravtal) are drafted. When the due diligence is complete it’s time to sign the subscription agreement and shareholders’ agreement.

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Term Sheet

, by Erik Byrenius

Our term sheet is a balanced and standardized term sheet for your seed round. Both VC firms, angel investors, entrepreneurs and lawyers have been involved in the process of creating this new Swedish standard.

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The Ultimate Guide to Stock Options in Swedish Startups

, by Erik Byrenius

This is a guide on how to set up an incentive scheme for employees using warrants (Swedish: teckningsoptioner) in Swedish limited companies (aktiebolag).

Update 18 October 2017: From 1 January 2018 new tax rules for stock options in small startups will probably apply in Sweden. This makes it more favorable to use what is referred to as “personaloptioner” below. Read more at DI Digital. This post will be updated if and when the final decision is made in the parliament. For now, it’s enough to understand that it may be worth waiting with issue new stock options until next year.

First, a summary will give you an overview of the whole process and highlight some common mistakes. Next, different kinds of employee incentive programs will be discussed, followed by a deep-dive into how Swedish stock options work and how to set up an option pool. Finally, you will be walked through a step-by-step process: how to implement an option scheme.

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Articles of Association

, by Erik Byrenius

The articles of association (Swedish: bolagsordning) can be described as a very basic version of the shareholders’ agreement, including some formalities regarding number of shares in the company, company name etc. They can also contain pre-emption right (very common) and right of first refusal (quite common).

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