One of the primary areas of our practice deals with partnership disputes between and among business partners of across a variety of industries, including co-owners of real estate brokerages, title companies, restaurants, hair salons, technology startups, and retail companies.
Have you ever used a boilerplate LLC Operating Agreement for your business? Have you ever wondered about some of the drastic legal consequences that the boilerplate language in such operating agreements can have for your business? Consider the following hypothetical, which pertains to the economic structuring of an LLC. Most operating agreements have standard boilerplate language related to respective member allocations and distributions. Among those provisions, one often finds a clause pertaining to qualified income offsets. What is the meaning of this provision in the context of a two-member LLC? Lets examine how this scenario plays out in the following hypothetical.
Purchasing a business is a huge deal - a decision that should not be taken lightly.
Business and taxes go hand-in-hand for entrepreneurs in the first few months of the year. This consideration is important because the structure of a business has future tax implications for the life of the company. Entrepreneurs must make this legal decision early on in a company's history, and due to future considerations, should do everything possible to get it right the first time.
The most common form for someone just starting a business is the sole proprietorship. If you have a one-person business - a bookkeeper, a consultant, a computer repair shop, a housecleaner or a writer - it's the perfect solution.