If you are starting up a business and have legal questions, you may want to speak to a lawyer. In the meantime, you can look at these new business owner tips.
New Business Owner Tips | Best Forms of Business
As a Rochester Business Lawyer, start-up businesses often ask me what the best forms of business are. There are basically three forms of business. First is the general partnership, which is filed with the county, which provides no liability protection. Second is the limited liability company, which is filed with Albany. The third form of business is the corporation. You need to discuss this with your accountant as well as with your attorney to determine which form of business is best for your particular business.
New Business Owner Tips | Buy-Sell Agreements
Clients often ask about whether or not they should have a buy-sell agreement. A buy-sell agreement is important in the event that a shareholder needs to sell their shares due to death, disability, retirement, or voluntarily decides to sell their shares. The funding of the buy-sell agreement very often can be done through life insurance or disability insurance.
New Business Owner Tips | Business Asset Purchase Agreements
As a Rochester Business lawyer, clients often ask me about asset purchase agreements when they are buying or selling a business. This agreement should be drafted by your attorney to include all the necessary elements of the sale including what is included with the sale such as inventory, equipment, intellectual property, and various other things as well as representations. Also, if you are financing the purchase, all the details of the financing should be spelled out in the agreement.
New Business Owner Tips | Shareholder Agreements
Clients often ask me about whether or not they should have a shareholder agreement. We have seen many shareholder disputes, even amongst family members. It is very important to have a shareholder agreement to spell out what will ultimately happen to the corporation if there is a voluntary sell, death, disability, or retirement.
These new business owner tips were brought to you by the Rochester law office of Friedman & Ranzenhofer.