Guides

NDAs explained for founders and business owners

What a non-disclosure agreement does, when to ask for one and what it typically covers.

EvoAstra team14 Nov 2026 · 3 min read
Key takeaways
  • An NDA sets out what information is confidential and how it can be used
  • Ask for one before sharing sensitive ideas, data or code
  • Keep it simple and mutual where possible

A non-disclosure agreement, or NDA, is a contract in which one or both parties agree to keep certain information confidential. Founders often ask whether they need one before talking to an agency. Here is a plain-language overview. It is not legal advice.

When an NDA fitsAnimated
  1. 1Initial call, general idea
  2. 2Sensitive details needed
  3. 3Sign NDA
  4. 4Share details
  5. 5Estimate and plan

What an NDA usually covers

  • What counts as confidential information
  • How the receiving party may use it, usually only to evaluate or deliver the project
  • Who else may see it, such as team members bound by similar duties
  • How long the obligation lasts
  • What happens to the information at the end

When to ask for one

If you are sharing unreleased product ideas, business data, customer lists, source code or financial details, it is reasonable to ask for an NDA before the detailed discussion.

One-way vs mutual NDAAnimated
One-way
  • Only you share secrets
  • Protects your information
vs
Mutual
  • Both sides share
  • Protects both parties equally

Keep it reasonable

Very broad or one-sided NDAs can slow things down. A clear, mutual agreement focused on genuinely confidential information is usually signed quickly.

Beyond the NDA

Your main project contract should cover ownership of code, designs and accounts, as well as confidentiality during and after the project.

Before signingAnimated
  • Clear definition of confidential info
  • Purpose limited to the project
  • Reasonable duration
  • Return or deletion clause
  • Signed by authorised people

Our approach

We sign an NDA on request before the first detailed call. Ask a legal professional to review any agreement if you are unsure.

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