After one starts a small business, he or she usually chooses to operate it as a corporation. If one doesn’t do this, the business is operated as an individual, and the owner’s personal assets are not shielded from business creditors. However, in order to maintain S-Corp status (a business’ corporation status), one must do more than just file articles of incorporation. The process may seem overwhelming, but one’s attorney will be present for the entire…

Read more

Are you developing a new app, but using someone else to write the code? A "work for hire" contract isn't enough. Make sure you get an assignment of ownership from your developer. This is to avoid "phantom founders" that later may come back to get a piece of the app.   Are you developing an app? If you are, by taking a few simple precautions early in the development cycle—ideally before you start development—to make…

Read more

Fear, intimidation, uncertainty … This was just a sampling of what was experienced in law school and the subsequent practice of law in the years after. It takes time to get your legal legs under you. Did you have a father, mother, or other close family member available to show you how it’s done? Me neither. So there I went, along with many others, cutting my teeth and reinventing the wheel with late nights and…

Read more

Changes to the FLSA – White Collar Exemption The U.S. Department of Labor’s long-anticipated “Final Rule,” regarding changes to the Fair Labor Standards Act (FLSA) was finally issued on May 18, 2016.  It updates the federal white collar overtime exemptions by raising the minimum salary required to qualify as an exempt employee to $47,476 per year.  The Final Rule becomes effective December 1, 2016. What has changed?  -- By way of background, under prior regulations,…

Read more

Will I have to start paying overtime soon?   Astute employers are reviewing available options to mitigate the potential economic impact of the imminent release of new federal Fair Labor Standards Act overtime regulations. The Department of Labor estimates that average annualized direct employer costs could total between $239.6 and $255.3 million per year. If you’ve been out of the loop and are wondering why this is such a controversial issue, here’s a quick rundown:…

Read more

What is a franchise business? What does a good franchise agreement look like? Most likely, you have driven by many franchises in your own town or city. Examples of well-known franchise business models include Subway, UPS, McDonalds, and H & R Block. In the United States, there are franchise business opportunities available across a wide variety of industries. Franchises are an extremely common way of doing business. In a franchise, the owners, or "franchisors", sell the rights…

Read more

Most likely, you have driven by many franchises in your own town or city. Examples of well-known franchise business models include Subway, UPS, McDonalds, and H & R Block. In the United States, there are franchise business opportunities available across a wide variety of industries. Franchises are an extremely common way of doing business.   In a franchise, the owners, or "franchisors", sell the rights to their business logo, name, and model to a third party…

Read more

Once you and your business buyer negotiate the fine points of a deal, it’s time to schedule the sale closing. A few easy steps will help you lay out what you need to do in advance, during, and immediately following the big day. Step 1. Prepare for Closing Day Here’s a chart outlining pre-closing day tasks. Work with your broker, if you’re using one, and your attorney and accountant to confirm and take the steps…

Read more