Question
It seems to be common knowledge that VCs will not sign an NDA, and a startup appears amateurish if they ask for it. Is there any other way we can protect our IP, or is this just not a "luxury" we have? I have heard of cases where VCs have simply forwarded documents/IP from startup pitches to their own portfolio companies.
Answers: 2 public & 2 private
This is a great question. While working at a medium sized PE shop, we had a policy to not sign NDAs. Later, our inside counsel would let us sign them, but only after they were vetted by the legal team for any hidden "bombs".
In reality, NDA agreements are only as good as your willingness to enforce and your approach.
If you're properly protected your Intellectual Property with trademarks, copyrights and patents, then you needn't worry about a VC stealing your IP. In fact, you'd better tell them about your IP rules so that they know you're serious about it and that they should be serious about you.
Depends on your IP, it can be in the form of patents, copyright, trade secrets ... or in the case of internet, moving so fast that your brand (trademark + tradedress for UX) spreads faster than anyone else. Specific tactics depends on your product, market and competition.
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