Linda has just formed an LLC. She has a great new idea for a business. She has no money as she has no clients yet, but her friends love her and want to volunteer their services. She has vaguely promised them some sort of eventual profit or ownership percentage when the company becomes more successful…. Read More »
Posts Tagged: corporation
The Best Way to Buy a Small Business
Bob, one of my business clients, wants to own a coffee shop. He calls me and tells me he has found one for sale—and in the perfect location. That coffee shop is owned by a corporation. The corporation is really just the owner and his wife, but the corporation is the legal owner of the… Read More »
S-Corp or C-Corp? What's the Difference?
When you first form your corporation, it comes into existence as a C Corporation. If you do nothing more, your corporation will remain a C Corporation. A C Corporation becomes an S Corporation only when special tax treatment is sought by filing Form 2553 with the IRS. http://www.irs.gov/pub/irs-pdf/f2553.pdf Although a small business lawyer can… Read More »
Lions and Kiwanis and Rotary, Oh My!
Frequently asked questions about becoming a 501(c)(3) foundation Why Should Our Club Become a 501(c)(3) foundation? I have recently had the pleasure of both incorporating and applying for 501(c)(3) non-profit status for a New York Lions and a New York Kiwanis Club. One club had been in existence for more than 50 years… Read More »
Long Island Small Businesses and the Onerous MTA Payroll Tax
I confess, I only incorporated my business this past year. For a solo attorney such as myself, there aren’t as many reasons to incorporate as there are for other businesses. I have malpractice insurance that covers most of my liability, and a corporation or LLC formation would offer little in the way of additional protection. … Read More »
Small Businesses Need Minutes of Meetings
Why Does a Small Corporation Need to Keep Minutes? Corporate minutes are a reflection of the decisions of the Board of Directors. Even more importantly, corporate minutes are an indication that formalities of the corporation are being kept. If involved in a lawsuit, one way an attorney will attempt to reach personal assets of the… Read More »
Your Family Small Business Succession Plan
When your business succession planning involves family, a whole new set of variables need to be thought about. In some ways, it is easier when you have family to leave your business to, in other ways it can be way more difficult as you add family dynamics to the mix First of all, some statistics:… Read More »
Do You Need A Business Succession Plan?
Once you’re past the startup phase of your small business, it is time to start thinking about your business succession plan. If you are years from retirement, this may be the last item on your to-do list. You surely have enough to do in your daily operations without building in time to work on the… Read More »
Choosing the Business Entity That’s Right for YOUR Small Business
If your business is located in Nassau or Suffolk County, Long Island, New York, there are four (4) main types of business structures to choose from: Sole proprietorship: In both Nassau and Suffolk Counties, a business that is operating as a sole proprietorship must register with the County Clerk in the county in which it… Read More »