Why You Should Register Your New Business as an LLC in California

There are trade-offs associated with every business structure out there, and a limited liability company (LLC) is no different. Many first-time business owners might prefer to form a sole proprietorship or limited partnership because they are easy to register and have simpler tax filing requirements. It is well worthwhile, however, to consider using the LLC structure for your California business, even if you are Read More

Overview of the Professional LLP in California

Many states allow for a variety of professional service providers to form what is known as a PLLC, or Professional Limited Liability Company, but this is not an option in California. Instead, licensed professionals may choose to form a Professional Limited Liability Partnership (PLLP) or a Professional Corporation (PC), depending on their type of business they conduct.  What is a Professional LLP? A Read More

An Overview of Mezzanine Capital

Business owners have many options for funding different aspects of their operations. Each option comes with its own set of pros and cons, and mezzanine financing is no different. For some situations – such as growth opportunities that need spot financing – this type of capital can be an effective option.  What Is Mezzanine Financing? For those familiar with architectural terminology, you might infer that Read More

Pros and Cons of Incorporating Your Business in Delaware

Did you know that more than 50 percent of all publicly traded and Fortune 500 companies are incorporated in Delaware? This is because Delaware has certain tax advantages and corporation-friendly laws that can make it appealing for businesses to incorporate there. Not all companies will realize the same benefits if they choose to incorporate in Delaware, however, and factors such as the size of the business affect Read More

Understanding the Uniform Commercial Code

If you have ever purchased a vehicle, bought or sold goods, or borrowed money, you have completed a transaction that is subject to your state’s adoption of the Uniform Commercial Code. To clear up a common misconception, the federal Uniform Commercial Code (UCC) is not a set of laws in and of itself. It is merely a legislative model, created by a non-profit entity called the Uniform Law Commission. All 50 states have Read More

Liquidating Your Business Assets

There are many reasons why people decide to shutter their businesses. For some, it is time to shift markets, move on to new opportunities, or retire. For others, it is a catastrophic loss or change in personal circumstances that makes this decision necessary. No matter the reason, chances are you will want to liquidate any assets you can in order to pay creditors and come away with some amount of money after closing Read More

Four Tips for Negotiating Contracts

Negotiating a good business contract can be a difficult balancing act between demanding too much and asking for too little. It’s tempting to insist on everything you want, but adopting a scorched-earth approach might cause the other party to abandon the negotiations altogether. Even if they do sign the deal, you might be creating unnecessary problems for yourself down the road because people who are deeply unhappy Read More

Breaking the Deal: Material Versus Anticipatory Breaches of Contract

Businesses run on the successful execution of contracts, but sometimes things don’t work out. When one party does not live up to its end of the bargain, that is called a “breach of contract.” Breach of contract can be grounds for a lawsuit in which damages may be awarded to the non-breaching party if they can prove their case in court. Material Breach A material breach is a failure to fulfill the terms of a Read More

Understanding Cybersquatting and What You Can Do About It

Starting a business is hard work. It takes a lot of money and even more time. If you’ve done it right, though, you have a solid business plan in place, enough capital raised to last you through the start-up phase, and a properly registered, unforgettable trademark. Unfortunately, though, you may hit a snag when it comes to building your website if it turns out that someone else owns the domain that matches your Read More

The Difference Between an S-Corp and C-Corp in California

There are several types of business structures available in California, each with its own benefits and drawbacks. Incorporation can provide a number of advantages, but you should think carefully about the type of corporation that might be right for you. Understanding the difference between an S-Corp and a C-Corp is important so you can decide if one of these corporate entity types might be right for you. An Read More