Brazil holds second place in the ranking of countries with the most cyber crime in the world, accounting for an estimated loss of US$ 22 billion, according to a survey conducted by Norton Cyber Security in 2017.

This alarming figure underscores the importance of problematizing Digital Law. Companies engaged in the virtual environment know that as technology evolves, new forms of doing business arise, such as:

• Digital signature for contracts;
• Crowdfunding for project financing;
• Blockchain;
• Use of artificial intelligence;
• Use of social networks to expand business;
• Online virtual reality games;
• E-commerce.

Moreover, the Internet has enabled easy access to any type of information that is on the network, a fact that raises issues such as: risk of intellectual property infringement, counterfeiting, illegal downloads, appropriation of exclusive content, leakage of corporate information, digital banking operations, privacy, freedom of expression and civil liability on the Internet. These are just a few of the issues that are becoming increasingly frequent and encouraging new debates in the legislative and judicial spheres.

It is clear that problematizing and planning Digital Law is crucial for any company, given the increasingly connected world we live in.

Digital Law, a re-reading of traditional law, is the science that regulates the use of technology with human relations and seeks practical solutions by interconnecting various areas of law, such as: Contracts, Corporate, Trademarks and Patents, Taxation, Criminal and Labor.

Planning and prevention are paramount for companies of all sizes, because legal instruments are indispensable to protect a business, its assets, brand reputation, intellectual property and eventual grievances committed with the use of information technology.

Only with appropriate legal support will the managers of any type of company be able to determine effective procedures to deal with the technology scenario and its nuances. As such, Digital Compliance, encompassed by Digital Law, is indispensable for keeping a company healthy and ethical, in compliance with the law and with supporting evidence for its clients about their protections.

Startups

Startups are the present and the future. Disruptive in nature, these companies are often born out of the minds of innovative young entrepreneurs, who break into markets and blaze new trails for old and current problems. This business model, which emerges from the advancement of technology, media and obtaining information, is growing in Brazil. However, despite the expansion, some data warn about the difficulties faced by the startup model.

According to DCI, nearly half of Brazilian startups (46%) suffer direct financial impacts due to lack of legal planning. The main problems faced by these companies are related to taxes, labor and intellectual property. Another relevant figure provided by the Brazilian Association of Startups (Abstartups – Associação Brasileira de Startups) indicates that only one in every four startups survive the first five years of operation. Everything converges on the basic need to consider specialized legal support, from the conception of the company’s idea.

Considering a scenario involving the beginning of a startup, the most common doubt of novice entrepreneurs is: what is the ideal moment to start the company?

We are often talking about a business model idea, a scenario in which it is essential to have a document of M.O.U – Memorandum of Understanding, detailing all aspects of the company. With this document, the creators have more assurance and transmit credibility to current or future investors.

LG&P advises companies legally and makes then attractive to investors, funds and family offices.