When an LLC Is Not the Best Fit
Business owners who are interested in forming a new limited liability company (LLC) or converting their existing business to an LLC are probably familiar with the benefits of this entity type. While the LLC is a great fit for many companies, there are situations in which its disadvantages may outweigh its advantages.
Why You Need Insurance for Your Business
Accidents, natural disasters, data breaches, and other unexpected occurrences are an ever-present risk to business owners. Small business insurance provides additional protection for your enterprise and could be the difference between a bump in the road and a door-closing catastrophe.
What You Need to Know About Articles of Organization
The limited liability company (LLC) is a popular entity structure among small business owners that provides governance and taxation flexibility and shields personal assets from business liabilities. To enjoy the benefits and legal protections of an LLC, however, owners must register their company with the state by filing articles of organization (sometimes called a certification of organization or certificate of formation).
Purpose and Profits: A New Emerging Business Structure
It is a long-held capitalist axiom that businesses exist solely to make a profit. Typical for-profit corporations are legally required to act in the best interests of their shareholders, which means maximizing profits—often at the expense of other considerations. In fact, failure to focus strictly on profits can expose corporate leadership to shareholder litigation. Here’s what you need to know about Purpose and Profits.
The Impact of the FTC Ban on Noncompete Clauses, Game-Changer for US Workers
The recent decision by the Federal Trade Commission (FTC) to ban noncompete clauses in agreements signed by for-profit US employers marks a significant milestone in labor rights and fair competition.
Purchasing Real Estate for Business
Business owners must constantly weigh risks versus rewards when evaluating growth strategies. An example is owning commercial property, which involves more responsibilities and expenses than leasing a space. However, over the long term and in the right circumstances, commercial real estate may be a smart investment with a high upside.
Should I Buy a Franchise?
Buying an existing business can offer the advantages of name recognition and a proven business model. The advantages can be even greater if the business is a franchise with hundreds or even thousands of locations.
What Every Business Owner Should Know About Cash Flow Statements
Cash flow statements measure how much cash is flowing in and out of a business. A positive cash flow is one of the strongest determinants of a business’s success. It shows that a company can fund its debts and pay for immediate needs such as equipment and staffing, and also that it has enough money in reserve to invest or survive a downturn.
How to Put Business Interests into a Trust
Each type of structure offers different levels of asset protection and affects how much you pay in taxes. But owners can exert further control over their business—both while alive and after they pass away—by placing business interests in a trust.
Legal Considerations for Buying an Existing Business
Buying an existing business can eliminate the initial legwork of establishing a customer base, training employees, and securing start-up funding, but it is not without its own challenges.
