AngelList Launches Docs To Help Startups Sign And Close Seed Rounds Online With Low Legal Fees

There’s no doubt that AngelList has evolved into an incredibly powerful (and disruptive) platform in the investing world. The hybrid social network, communication and crowdsourcing platform allows startups to access investors, and has also become a resource for investors looking to boost dealflow and connect with other investors. But while the network has been able to connect investors with startups, there hasn’t been a way to facilitate the actual transaction online. Today, AngelList is debuting Docs, which lets seed-stage startups close their round online. It consists of a standard term sheet, automatically generated closing documents, and tools to manage the process including electronic signatures, managing wire information, generating PDFs, and more.

As CEO and co-founder Naval Ravikant tells me, when he and co-founder Babak Nivi started VentureHacks a few years ago, their goal was to educate companies on how to negotiate venture term sheets. AngelList eventually resulted from this, and actually helped startups make connections to investors. The next step is actually facilitating these deals. One challenge for startups, says Ravikant, is dealing with large legal fees.

For a seed stage round, legal fees can be upwards of tens of thousands of dollars, which is costly for a bootstrapped startups. Docs aims to eliminate some of the complexity of the actual raise by allowing users to enter information in fields, and produce a term sheet.

Read the rest of this article at TechCrunch 

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