I am drafting a noncompete agreement for a new hire. My business is internet marketing and I market through-out the globe (mostly USA). In a noncompete, you must specify where they may not compete in the same geographic area as your business. For someone in my shoes, does that mean from or to? They can not do business like I do from the same state that my business is located? How I do business can be done ANYWHERE with an internet connection. I'm not limitted like a wood mill is to location because of needed resources. My resource is the internet and that's global. So, which do you think I should put? Here's a Legal Definition used for Geographic Area pertaining to a noncompete: Input is most welcomed
I think that's the key point. You can't say "don't make xx business anywhere on the planet" - I think you would have limit it to either the city or state where you are located.
I've worked for a man who develops employment web sites. He also has ad-based sites that offer information on the cruise industry, financial aid, and all kinds of other info. I have a site that I developed on my own that discusses gasoline prices. My employer is now attempting to build a similarly themed site. What's become clear is that my site is not so much a competitor to his as a great partner. I'd suggest limiting not by geography of land, but limiting to a specific business model. A free blog about marketing would not be a competitor to a web-based subscription-model marketing tool or a marketing consultation service. Make sure this employee can't stab you in the back by taking what they've learned working for you and dismantling your business - but give them enough room to use all the skills that they're bound to develop. More likely than not, you'll have a useful business ally in four or five years.