The first question for every small business owner who decided to form an entity? LLC or S corp? Which one is better for me? Let’s face it, most people would chose the entity that leaves more money in their pocket. So let’s compare the tax costs and startup costs of these two entities. This assumes that the […]
I’ve seen my share of dumb legal mistakes made by any type of business owner. New and experienced business owners alike, remind yourself every once in a while of these common dumb legal mistakes when dealing with business agreements. Not Getting It in Writing Get it in writing. No exceptions. All terms should be expressly […]
Let us help you with your New York LLC Formation! Call us to discuss your startup business and any other questions you may have about the process of forming a New York Limited Liability Company. We are not a paralegal or other document filing service (like legalzoom) where you don’t get to speak to a […]
Many if not most small business limited liability companies with two or more members do not have an operating agreement. An operating agreement is the document for an LLC that provides for rules and provisions regarding the management of the LLC and the members’ rights vis a vis the other members and the LLC. It […]
Picture this: You’ve been happily doing business with your fellow LLC members for some time now. But now trouble is brewing on the horizon. The other two members are ganging up on you and exclude you from any further business dealings. When you ask to see the LLC’s bank accounts, tax returns or other financial […]
You’ve got homework to do before you can successfully sell your small business. Even if you already have an interested buyer, attention to the details at this stage of the game will help you in the long run and protect you from unexpected snafus. Your small business lawyer should be able to help you with […]
Many small business contracts provide that any dispute arising from the contract must be arbitrated rather than litigated in a state or federal court. Unfortunately, these provisions are often included without a second thought to their practical meaning. Before agreeing to arbitrate your small business dispute know this about arbitration: What is Arbitration? Litigation of […]
It is rare that a business in New York owns the property from which it operates. Most businesses rent commercial space for their store/restaurant/warehouse or other venture. Thus, the owners of the business will be party to a lease with the owner of the building that houses the business. This lease becomes an important piece […]
How do you out-vote or overrule a minority LLC Member? It is fairly easy, thanks to the LLC laws in effect in New York. This is assuming, of course, that your LLC operating agreement doesn’t provide something else. But since so many LLC’s go without operating agreements (against my advice), let’s look at the requirements […]
When you are buying or selling a business and the business is operated by a corporation or LLC, you have the option of an asset sale versus a stock sale. What is the difference, you ask. Let me explain. LIABILITIES FOR DEBTS Scenario 1: The business is operated by a corporation. All of the business’ […]