Do I Need an Operating Agreement For My Multi-Member LLC (Hint: Yes, You Do!)

Many people form limited liability companies (LLCs) to own and operate their businesses. Much like corporations, LLCs offer limited liability protection without the requisite formalities of a corporation (for example, a board of directors, annual meetings, etc.). The Operating Agreement is the primary document of an LLC, as it describes the framework of the business; financial and operational processes, Read More

Do I Need an Operating Agreement For My Single-Member LLC? (Hint: Yes, You Do!

Many people form limited liability companies (LLCs) to own and operate their businesses. Much like corporations, LLCs offer limited liability protection without the requisite formalities of a corporation (for example, a board of directors, annual meetings, etc.). The Operating Agreement is the primary document of an LLC, as it describes the framework of the business; financial and operational processes, Read More

5 Things to Know About Corporate By-Laws

Every corporation requires by-laws.  They are a necessary document for every corporate entity.   The problem is that most people who form corporations aren’t quite certain what by-laws actually are, nor what they do. Below are five (5) basic concepts regarding corporate by-laws. 1.  They are a Blueprint for Your Corporate Operations By-laws are a written document that contains the rules and Read More

Is Arbitration Right For Me?

Arbitration is a procedure that parties to an agreement may use in order to resolve their disputes outside of the courts.   Litigating in court is often an expensive, time-consuming and emotionally draining experience.  In order to avoid this, many parties to a contract agree to arbitrate, rather than litigate, through a contractual provision called an arbitration clause. Read More

Why You Should Never Use a Single Entity to Own Multiple Businesses

Many business owners use entities such as corporations and limited liability companies (LLCs) to hold their business assets.  This is because these types of entities offer business owners something called limited liability. With an entity such as a corporation or LLC, a person’s liability is limited solely to their ownership interest in that entity.   Should the entity incur liability or other debt, Read More

Sorry, But You Can’t Actually “Form an S-Corp”

When I ask business owners what type of entity they’ve already formed for their business and they answer “I formed an S-corp,” I start to cringe. I don’t cringe because they’re wrong (which they are).  I cringe because they are lacking basic knowledge about a fundamental part of their business.  If you don’t know everything there is to know about your business, let alone the type of entity you Read More

Disadvantages of Arbitration

Arbitration is a procedure that parties to an agreement may use in order to resolve their disputes outside of the courts.   Litigating in court is often an expensive, time-consuming and emotionally draining experience.  In order to avoid this, many parties to a contract agree to arbitrate, rather than litigate, through a contractual provision called an arbitration clause. Read More

Advantages of Arbitration

Arbitration is a procedure that parties to an agreement may use in order to resolve their disputes outside of the courts.   Litigating in court is often an expensive, time-consuming and emotionally draining experience.  In order to avoid this, many parties to a contract agree to arbitrate, rather than litigate, through a contractual provision called an arbitration clause. Read More

A Brief Guide to Your Business Entity Options

When it comes time to officially start your business, one of the first things you need to do is select an entity structure. There are several types of business entities to choose from, each with its own advantages and disadvantages. Your choice can have a significant impact on the way you run your business, from taxes to liability to company control. The key is finding out which business structure gives you the Read More

What in the Heck is CAM?

Many commercial leases require tenants to pay CAM. CAM is an acronym for Common Area Maintenance fees.  It is extremely important that you understand the CAM fees in your commercial lease and how they are both calculated and charged.   CAM charges are often found in the same lease provision that discusses base rent charges.  When calculating your monthly payments, it is imperative that you Read More