The Shoobx platform includes over 50 workflows that generate legal documents that can be reviewed by your outside counsel and executed on the platform. Once complete, these documents are automatically saved to your data room, and data from those documents populates reports like your cap table. This article will explain what workflows are and how they work.
What is a Workflow?
- A workflow is a process that will allow you to electronically create, upload, sign, and/or review legal documents.
- Workflows often have two paths - generative, where you can generate new documents to execute on the platform, and upload, where you can capture previously signed documents and the data contained in them.
- The first page of a workflow will contain some helpful information on the subject of the workflow and may include links to Toolbx knowledge base articles or other resources.
- A few examples of the documents that can be uploaded or generated via a workflow include:
- Equity: Stock Incentive Plans, Stock Option Agreements, Restricted Stock Agreements, and Warrants.
- Human Resources: Offer Letters, Employee Confidentiality and Assignment Agreements, and IP Contribution Agreements.
- Corporate Governance: Board Consents, Board Minutes, and Stockholder Consents.
- Fundraising: SAFEs, Convertible Notes, and the NVCA financing documents.
How Do Workflows Function?
- A workflow begins by walking the user through a step-by-step process of gathering information (i.e. important terms for the documents to be generated), then generates legal documents based on that input.
- The workflow will either use Shoobx templates, or in the case of option and restricted stock grants where the company has uploaded its Stock Incentive Plan and related forms, generate a cover sheet that will be placed on top of the company's grant form (more on this process here).
- The documents are circulated for legal review (if needed) and sent out for electronic signatures.
- Once signed, the documents are stored in the data room, and data from those documents automatically populates other reports in Shoobx, such as the cap table and employee report.
- Workflows create documentation for all types of corporate activity: from changing an employee's start date to creating a convertible note.
Uploaded and Generative Workflows
- Workflows can be run in either generative mode, meaning that Shoobx will create the documents for you, or in upload mode, which allows you to upload the previously executed documents and capture important information about them.
- The first page of a workflow will give you the option of choosing between "upload" or "create" (note that, in some cases, like the Stock Incentive Plan workflow, the upload and generative processes are two different workflows).
- You should choose to "upload" a document to Shoobx if you have fully executed documents in hand. This will allow you to bring documents created outside the platform into Shoobx, and capture the information in them for the applicable reports.
- You should use the generative workflow if you have not yet created the documents and need Shoobx to create the documents for you. For instance, you can generate offer letters for your new employees on Shoobx and electronically sign them.
- Note that certain workflows, including the Board Consent and Consultant Agreement workflows, allow you to upload a drafted document for execution on the platform. In these cases, simply upload a PDF version without a signature page, and Shoobx will affix a signature page to your document, and process the execution of the document.
- Also note, in some cases, it is possible to use the upload path but still generate stock certificates at the end of the workflow. This feature is available in Shoobx's equity financing and stock transfer workflow, among others.
- Regardless of whether you upload or generate documents on Shoobx, once this information is on the platform, this data seamlessly populates other important documents or reports.
Frequently Asked Questions for Generative Workflows
What is the Checkpoint Page?
The checkpoint page is a moment in the workflow that allows you to review and confirm that all documentation that has been generated is correct.
Each document on this page will have a PDF that should be downloaded and reviewed. If any changes need to be made, the "edit" button allows you to view the document section by section, and make changes as needed.
You will also see a button on the checkpoint screen that allows you to share documents with a reviewer or the person who will eventually be signing them (i.e. the investor in a bridge note workflow, the grantee in a grant shares workflow, etc.).
What Happens After The Checkpoint Page?
It is very important to review all documents in their entirety at this point. Once you confirm the information on this page, the documents will go out for signature. After these legal documents have been signed, changes are usually not possible without intervention from our team, and approvals from the people who signed the document(s).
Your company's counsel involvement settings may require the documents to be reviewed by legal counsel. If this is required, the documents will go directly to legal counsel for their review. If they request changes to any of the documents, the workflow will notify you of the changes they have requested.
If the documents go to legal review and are accepted, or if they do not require review of counsel, the documents will then go on to the signature step.
When all signatures have been captured, the workflow will be complete, and the system will save the documents to the data room and update any applicable reports.
Screenshots are for illustrative purposes only.
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