| Preface: This is not legal advice. Consult your attorney and CPA. Blah blah blah This is a great question. The short answer is to license the IP between several corporate entities. Here's a structure that offers a huge amount of protection and risk reduction: -You own 100% of Company A -Company A owns all IP -Company B licenses the IP from Company A -Company B is an operational company (with a merchant account, employees, office, etc). Any potential litigation will target Company B because it's exposed. However, you structure the licensing agreement between Company A and Company B such that: -Company A is indemnified of all of Company B's transgressions -Company A has very little value because most income is paid to Company B as the licensing fee. You want Company B to essentially be worthless, which means it's not a big target for lawsuits. Company B would probably be a US-based company. However, Company A could be based in another country, which would further reduce the likelihood of a lawsuit touching the IP. So you get to operate in the US, but still protect your IP from litigation. The best of both worlds. |