The majority of startups never get to the point where taking venture capital is even an option. This is because they either fail outright or they simply never build the type of company profile that fills venture capital investors’ imaginations. The Pros Receive a Major Infusion of Capital One the most obvious
Throughout our history, at Lee Shome & Kennedy we have overseen mergers & acquisitions for a wide array of companies, with ranges above $50 million all the way down to under $1 million. It’s this practical application of business law that has allowed us to understand the intricacies of business acquisition agreements.
In order for a contract to be legally binding, a few key elements must be demonstrated. In certain instances, additional features may be added to cover the best interest of the signing parties, but these five points will cover the major requisites. Offer Acceptance Consideration Mutuality of Obligation Competency and Capacity Legally
San Diego Business and Due Diligence When buying a business, there are always risks. The process becomes even more nerve-wracking because a business is different from any other asset one can buy. While some of the aspects of the business may be tangible, many are not. The business will likely have receivables,
Some Limitations and Restrictions Closely held corporations, sometimes called close corps, are companies controlled by a small number of shareholders. In most cases, the original investors maintain control of their shares for the long-term, with little interest in selling shares or relinquishing any powers. “Closely held” is defined by the IRS as
Authorizing Background Checks Must Exclude Liability Wavers Conducting background checks on prospective employees is a practice companies large and small carry out to ensure the candidate is who they say they are. For organizations operating in the upper echelons of their industry, background checks are mandatory. Employers, therefore, must understand the processes
Trademark Steps Background: The legal definition of a trademark is, “any word, name, symbol, or design, or any combination thereof, used in commerce to identify and distinguish the goods of one manufacturer or seller from those of another and to indicate the source of the goods.” 15 U.S.C. §1127. Simply, a
At some point of operating your San Diego business, you may find it necessary to acquire an influx of capital to grow your business further. This can generally be achieved in one of two ways: debt or equity. When raising capital through equity, however, there are substantial and complicated government regulations that
Starting a new business in San Diego the right way can be a big undertaking, but with a solid business plan and having a strategy in place, you will have a much easier time. In this series of articles we will cover many important topics to starting a new business. In this article we will consider the following: Choosing how to structure your business, filing your tax and employer identification documents, and how to search for any applicable licensing or permitting requirerments.
This article will provide a brief overview of certain taxable transactions and the ramifications in M&A transactions, including those certain tax-deferred reorganizations under §368 of the Internal Revenue Code. Often, due to the fact that the taxes are deferred under IRC §368, these M&A transactions are referred to as “tax-free.”