Just when you thought they were done passing laws! After the passage of the Corporate Transparency Act (CTA), other states have passed similar laws with similar aims. Most notably, New York just passed the New York LLC Transparency Act (or NYLTA). NYLTA...
Running a Business Articles and Resources
New York LLC Transparency Act
By: Ted Sutton, Esq. Marissa was an aspiring barista who lived in New York City. After she graduated high school, she started her own coffee shop in Brooklyn. She properly formed a New York LLC. However, she forgot to report her beneficial ownership information to...
Piercing the Corporate Veil – How to Avoid It
50% of piercing the veil court cases nationwide succeed because owners are failing to properly follow corporate formalities. This exposes business owners to personal liability - meaning they can lose their possessions. What is the Corporate Veil? What is the corporate...
Mom’s Mistake is No Excuse – You Need a Professional Registered Agent
Mom’s Mistake Is No Excuse! Do you have your registered agent service properly in place? A recent Ohio case illustrated the significant pitfalls of lax procedures. Your registered agent’s job is to accept service process, meaning notice of a lawsuit. If you don’t...
Can Emails Create a Binding Contract?
Joe exchanged emails with Mary. They were investigating whether Joe wanted a consignment of Mary’s embroidered toilet seat covers for Joe’s hardware store. The email conversation trailed off and Joe went on to other things. Two days later, to Joe’s surprise, the...
Black Swan Events and Force Majeure Clauses
Force Majeure is a French term meaning superior force. It is also a contract clause that relieves parties from performance when an extraordinary event occurs. Such challenges, known as ‘black swan’ events or generically ‘Acts of God’, may be mitigated by a force...
The End-of-Year Legal Audit You Can’t Afford to Skip
“An ounce of prevention is worth a pound of cure” – Benjamin Franklin Benjamin Franklin’s famous words were written to advance fire safety. Shortly thereafter, in December of 1736, the Union Fire Company was formed and Philadelphia became the safest city in the...
10 Rules for Asset Protection Planning
Asset protection planning defends your assets from future creditors, divorce, lawsuits or judgments. How can you best plan to protect your personal and business assets? Here are some guidelines to implement strong asset protection. Plan Your Asset Protection Strategy...
Are Individuals Protected Within Their LLC?
New Texas Case Sends Shock Waves LLCs are set up to make personal assets inaccessible for any obligations of the entity. Protection may be lost, however, if you are not aware of your personal conduct when managing business through your LLC. The case below deals with...
Ultimate Guide to Vetting a Business Partner
By Gerri Detweiler After surviving several tumultuous business partnerships, Susan Nilon has learned to be more skeptical and cautious. In the past, she admits she was so excited about business possibilities that she “didn’t pay attention to red flags.” She and her...
Sales Taxes are a Big Issue in 2019
Businesses With E-Commerce, We're Talking To You What You Should Know About Internet Sales and the South Dakota v. Wayfair, Inc. Case Sales tax policy has changed dramatically within the past year, thanks to the Supreme Court ruling of South Dakota v. Wayfair, Inc....
Protect What’s Yours: The Top 10 Benefits of Incorporating Your Business
Starting your business from scratch is a big deal. There are a million details to take care of, and the list of demands can seem endless. Small business owners have to hire employees, worry about taxes, and find ways to maximize profits while keeping costs as low as...
Lessons from a New York Court Case on Piercing the Corporate Veil
Some business owners and investors don't understand the importance of keeping business and personal dealings separate, and can end up paying for it. Especially, when they are treating their business like their alter ego as was the case in this unfortunate New York...
New IRS Rules for LLCs and LPs Require Amending Operating Agreements Immediately
The IRS has instituted new audit rules which require every LLC Operating Agreement and Limited Partnership (LP) Agreement to be amended. While we have never experienced such a dramatic requirement, it is important to make document amendments before December 31, 2017....
13 Tips for Responding to IRS Notices
Contributed by Robert W. Wood, Tax Lawyer and Managing Partner with Wood LLP. Everyone must pay federal income taxes. Yet exactly how much you owe, and on exactly how much, is famously complex. All tax returns must be signed under penalties of perjury. That means you...
Is Your Website Ready For ADA Compliance?
New Court Case May Indicate Future Requirements Winn-Dixie, a large supermarket chain, was sued under the Americans with Disabilities Act (ADA). Juan Gil, a blind Florida resident, went to court because the chain's website was not accessible to him. The ADA requires...
Is Your Business Ready for a Cyber Attack?
Is your business dependent on technology? Think about it. Do you use a computer at work? Do you accept credit card payments? Unless you are collecting cash out of a cave, there is a good chance your business uses 21st century technology to conduct its operations. And...
Is It Best to Do Business as a Sole Proprietor?
You like the ease of operation as a sole proprietor. There are no annoying state fees and no bothersome annual meeting requirements. Corporations must follow corporate formalities—and you’re not into formalities of any kind. Doing business as a sole proprietor is...
Blazing The Paper Trail: Document Management For Entrepreneurs
By Stephanie Song No matter how advanced technology gets, there will always be a number of core applications where nothing but ink and paper get the job done. For entrepreneurs, there are many crucial documents that have to be preserved and tracked in physical form....
You Need This For Asset Protection in California
By Garrett Sutton, Esq The state of California has implemented rules (and costs) for business owners and holders of real estate located within California. In this fashion, you had the better protection of a Wyoming LLC. In Attack #1 where a tenant, for example, sues...
50% of Business Owners & Investors Lose This Lawsuit
It’s hard to believe that 50% of business and real estate ventures are losing one of the most common legal attacks because they fail to protect against court decisions that pierce the veil. This means business and real estate venture owners are being held personally...