2908, 2018

Making an S Corporation Election as a Married Business Owner

By |August 29th, 2018|

If you’re a married business owner and you want your business to be taxed as an S corporation, there are several things you need to know. The difference between community property and co-ownership of an asset Let’s take the example of owning a car. If you and your spouse are both on the title to a car, you co-own the car. This means both of you have the right to use the car, sell the car, or do anything you’d like with the car. It also means you are [...]

2608, 2018

Are Your Trade Secrets Really Safe? 4 Steps To Safeguard Your Competitive Edge

By |August 26th, 2018|

A trade secret is a piece of information which is confidential, can be legally protected, and gives your company a competitive edge.  Lots of the most famous examples involve recipes: the formula for Coca Cola, McDonald’s Big Mac “secret sauce”, or that Mrs. Field’s chocolate chip cookie recipe that caused such a legal stir in the 90s.  But you don’t need to be a food purveyor or a mega-corporation to have a unique approach that sets you apart from your competition—and if you can legally keep it a secret, [...]

208, 2018

Employee Misclassification: The Fine Line between Non-Exempt & Exempt Employees

By |August 2nd, 2018|

For as long as the Fair Labor Standards Act (FLSA) has governed the rules of employee classification, the confusion surrounding non-exempt and exempt classifications has continued.  Although many people generally view “non-exempts” as non-managers and “exempts” as managers, the truth is that there is a fine line between the two.  That line often gets employers into hot water and can cost them significantly in terms of fines, back overtime pay, and future Department of Labor (DOL) monitoring. Defining Non-Exempt & Exempt Employee Status Before looking at how non-exempt versus [...]

2007, 2018

5 Steps to Take When Winding Down Your Business

By |July 20th, 2018|

There are many reasons business owners close up shop, including retirement, starting a new venture or, hopefully, because they’ve won the lottery.  No matter what the reason, it’s important to diligently wind down a business before moving on. Here are five steps to take: Reach consensus. If you’re a sole proprietor, then the only consensus you need is your own.  However, if you’re a partnership, limited liability company (LLC), or corporation, you’ll have to reach a consensus with your business partners on how and when to dissolve.  Make sure [...]

1307, 2018

Laws, Rules, and Regulations That May Not Apply To Small Businesses

By |July 13th, 2018|

An extraordinary number of laws, rules, and regulations govern businesses and their employees.  A small business, however, may be exempt from one or more of them depending on its number of employees. For example: Discrimination Laws. Small businesses may be exempt from Title VII, the ADA and the ADEA: Title VII. Title VII prohibits employers from discriminating against employees on the basis of sex, race, color, national origin, and religion. It generally applies to employers   with 15 or more employees, including federal, state, and local governments.  The Americans [...]

207, 2018

5 Reasons Your Single-Member LLC Needs an Operating Agreement

By |July 2nd, 2018|

An operating agreement is a contract that controls your LLC’s operations as well as member interaction with each other and with the LLC. You may think that an operating agreement is not necessary for your single-member LLC - after all - why make an agreement with yourself? Is the Operating Agreement a Legal Requirement? Most states don’t require an LLC to have an operating agreement. Of the states that do, some require the operating agreement be written while others permit oral agreements. No state requires an LLC to file [...]