Hopefully you have read our previous blog in this three-part series discussing the legal documentation that is typically required when buying or selling an existing business. Below is a general description of the first six documents on the list: Purchase Contract. The Purchase Agreement governs the entire transaction. It sets forth the purchase price and [..]
If you are considering purchasing an existing business, it is important to conduct proper due diligence to ensure that you fully understand what you are getting yourself into. Most business purchases are either asset purchases or entity purchases. Once you have determined that you want to proceed with the purchase, you will need to work [..]
Many start-up businesses select the limited liability company (LLC) as their legal structure. The LLC entity offers its owners flexibility and fairly simple required formalities. For example, the members and managers of a LLC are typically not required under the law to hold annual meetings. However, it is common for the Operating Agreement governing the [..]
Many small businesses start out as a sole proprietorship or a single member limited liability company (LLC). While these two structures may seem similar, they have many important differences. Below are a few of the primary differences between them: Formation The main benefit of a sole proprietorship is that it is simple and inexpensive. The [..]
Hopefully you have read our previous blog titled “Factors to Consider in Forming a New Company – Part 1” for some of the first items you should consider when forming a new company. Below are a few other considerations: Hire wisely. It is smart to be picky when hiring new employees. Poor hiring decisions can [..]
It can be overwhelming to start a new company. There are numerous decisions that must made, so you must prioritize them accordingly. This is a two-part blog outlining general items new entrepreneurs should consider when forming their entity. Below are a few key issues that all new business owners should consider: Company formation. One of [..]
Although there is never the “perfect” time to start a new business, it is important to consider whether you are prepared to step into the world of being an entrepreneur. Below are a few questions you should ask yourself: Can I focus on the business? If your life is going through a multitude of changes [..]
If you are starting a new business venture, you may want to consider having a partner. Many entrepreneurs have discovered that sharing the obligations, decision-making and everything else that is required to ensure your success is a significant benefit. If you decide to have a co-founder, however, it is essential that you discuss a variety [..]
One of the primary concerns when starting a new business is funding. You must create a strategy for obtaining your seed money and funding for your initial operations. Ensuring you have sufficient funding for your start-up company can be one of the most challenging and frustrating aspects of a new business. It is important to [..]
If you are starting a new business and you are thinking about setting it up as a corporation, you should confer with a knowledgeable and experienced business attorney. The structure you use for your company will impact every aspect of it, so it is essential that you pick the most beneficial type of entity available [..]
