How to Protect Rights When Sending a Business Plan
When sending out a business plan, a company can protect its rights by taking some precautionary steps before the plan is finished. The goal is to protect the ideas behind your products while sharing them with investors. An investor, after all, may try to replicate the business idea and make it his own. Preparing the document well before anything is presented to investors is the best method for protecting rights when presenting a business plan.
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Instructions
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Confidentiality Plan
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Draft your own confidentiality agreement and have an attorney review it. Seek an attorney who specializes in business contracts. Make sure all the details that make the business plan unique are included in the agreement. There are several places online that offer free options. See the reference section for an example.
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Determine how many people will see the business plan. Obtain their names and contact information to formally deliver the letter of confidentiality via fax, email or a certified letter before presenting the plan. If the plan is delivered during an impromptu meeting, have the confidentiality letter presented before starting and try to get the participants' signatures witnessed. The witness should be an impartial person without any financial stake in the business plan.
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Select a mobile notary public who you trust to complete the job for added legal security. Use Google or a directory to find one locally to witness the event live. Remember that taking the steps to protect your rights may delay the plan's presentation. If the confidentiality document is not delivered in person, request that the agreement is signed in front of a notary. It establishes that the document is accepted under no duress or any other improper circumstances.
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Once completed, the business plan should include a signed copy of the confidentiality agreement. This will serve as a reminder that the agreement is a part of the business record. Also, the readers may receive copies as an additional reminder. At this time, it is appropriate to share the business plan and feel legally protected.
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Tips & Warnings
Evaluate the character of the reader(s). Try to have a product patent or other formal register in addition to the signed agreement.
