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National Law Review
National Law Review
6/18/2026
Don’t Tank Your Valuation: IP Mistakes AI Founders Make Before Exit

Don’t Tank Your Valuation: IP Mistakes AI Founders Make Before Exit

Short summary

AI founders must audit open-source licenses (especially AGPL copyleft), document AI governance policies, establish data provenance, and ensure IP assignment to the company before acquisition or fundraising diligence. Buyers scrutinize ownership, control, and compliance; gaps here are deal-killers. Address these issues early to move faster, reduce friction, and preserve valuation.

  • Audit OSS licenses and governance; document your compliance framework
  • Ensure all IP assignments are in place from day one—retroactive fixes are expensive
  • Prove data provenance and clearly demonstrate company ownership of core tech

Generated with AI, which can make mistakes.

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