A buy–sell agreement, also known as a buyout agreement, is a legally binding agreement between co-owners of a business that governs the situation if a co-owner dies or is otherwise forced to leave the business, or chooses to leave the business.
It may be thought of as a sort of premarital agreement between business partners/shareholders or is sometimes called a "business will". An insured buy–sell agreement (triggered buyout is funded with life insurance on the participating owners' lives) is often recommended by business-succession specialists and financial planners to ensure that the buy–sell arrangement is well-funded and to guarantee that there will be money when the buy–sell event is triggered.
Buy–sell agreement consists of several legally binding clauses in a business partnership or operating agreement or a separate, freestanding agreement, and controls the following business decisions:
- Who can buy a departing partner's or shareholder's share of the business (this may include outsiders or be limited to other partners/shareholders);
- What events will trigger a buyout, (the most common events that trigger a buyout are: death, disability, retirement, or an owner leaving the company) and;
- What price will be paid for a partner's or shareholder's interest in the partnership and so on.
Buy–sell agreement can be in the form of a cross-purchase plan or a repurchase (entity or stock-redemption) plan. For greater neutrality and effectiveness of the buy–sell arrangement, the service of a corporate trustee is recommended.
What is a copyright? Copyright is a legal term describing rights given to creators for their literary and artistic works. The kinds of works covered by copyright include: literary works such as novels, poems, plays, reference works, newspapers and computer programs; databases; films, musical compositions, and choreography; artistic works such as paintings, drawings, photographs and sculpture; architecture; and advertisements, maps and technical drawings.
Copyrighting your creative work protects it from unauthorized use. With a registered copyright, you control how your work is reproduced, distributed and presented publicly. This protection is available to both published and unpublished works. Material not protected by copyright (or otherwise protected) is available for use by anyone without the author’s consent.
Works protected by copyright: A copyright gives certain exclusive rights to persons who create original works of authorship, including literary, dramatic, musical, artistic and certain other intellectual works. This protection is available to both published and unpublished works.
Registering your copyright: The U.S. Copyright Office registers several different kinds of work. The following is a general overview of the different kinds of work(s) that can be registered with the U.S. Copyright Office.
|Federal Copyright Application||$150|
|Government Filing Fee||$35|
Copyright Services We Offer
- Federal Copyright Application – $150
- Government Filing Fee – $35
- Other Copyright Services – Call for quote
A corporation generally is a legal entity which exists separately from its owners. While normally limiting the owners from personal liability, taxes are levied on the corporation as well as on the shareholders. The sale of stocks or bonds can generate additional capital and the longevity of the corporation can continue past the death of the owners.
Legal Counsel should be consulted regarding the variety of options available.
To form a corporation , Articles of Incorporation must be filed with the Secretary of State’s office. Forms for the most common types of Articles of Incorporation are available.
A fictitious name, often referred to as a “Doing Business As” designation or DBA, is a trade name used by companies in the marketplace or legal arena. A company that is doing business as a particular entity with a name other than their original, corporate name is operating under a fictitious name.
Why You Should Register Your DBA
If your business wants to set up a new store, office or any other entity under a new name, you should always properly register your DBA in order to ensure no other company will try to use that name for their own purposes. It will also protect you as a legitimate business when handling legal and banking transactions.
Advantages Of Doing Business As
There are several advantages to filling out and properly filing DBA forms any time your business wants to begin operating under a new name, including:
- A DBA is far less expensive than incorporating your new name as a separate business.
- A company that is “doing business as” another entity allows business owners to mingle funds, operating costs and profits rather than having to separate the two entities completely.
- It protects you from infringement on your DBA name by other companies or individuals.
- It allows you to collect payments and open and operate bank accounts under your DBA name.
- Doing Business As gives you more opportunities to operate under a unique, attention-grabbing name tailored to a specific niche market.
Local And State Laws For DBAs
Many states and counties require that a fictitious name be registered in order to protect both consumers and businesses. It also ensures that consumers can determine which company or individual is ultimately responsible for any problems that might develop. If you’re considering registering for a fictitious name, be sure you understand the applicable local and state laws.
When you’re ready to register your DBA, We The Document can walk you through the process and ensure that you’ve filled out each required DBA form properly, protecting your company’s name and giving you a new and valued Doing Business As name for an exciting future.
A California GP must have two or more persons engaged in a business for profit. Except as otherwise provided by law, all partners are liable jointly and severally for all obligations of the partnership unless agreed by the claimant. Profits are taxed as personal income for the partners.
A California LLC generally offers liability protection similar to that of a corporation but is taxed differently. Domestic LLCs may be managed by one or more managers or one or more members. In addition to filing the applicable documents with the Secretary of State, an operating agreement among the members as to the affairs of the LLC and the conduct of its business is required. The LLC does not file the operating agreement with the Secretary of State but maintains it at the office where the LLC’s records are kept.
A nonprofit (also referred to as Not For Profit) corporation is a legal entity that is formed for specific purposes. Nonprofits may be involved in a wide range of areas relating to the arts, charities, education, healthcare, politics, religion, research, sports or some other endeavor.
Nonprofit organizations are formed by incorporating in the state in which they expect to do business. The creation of this legal entity generally requires the preparation and filing of certain documents with the Secretary of State (or other appropriate department) in your state of formation.
The act of incorporating creates a legal entity enabling the organization to be treated as a corporation under law and to enter into business dealings, form contracts, and own property as any other individual or for-profit corporation may do.
A nonprofit operates like a regular corporation. It has directors (often called trustees) and officers. But, there are no shareholders and no stock. Any profit the company earns is supposed to be used to advance the nonprofit corporation’s stated purpose. The directors, officers, and employees may earn reasonable salaries.
After the state has approved your incorporation, most Non-Profits will file for tax exempt status from the federal government. This is commonly known as filing for 501 (c) 3 status with the IRS.
The 501 (c) 3 status will exempt the organization from having to pay most taxes. In addition, it will allow the application for government grants and loans as well as make the corporation appear “more legitimate” in the eyes of potential donors whose donations would then also be tax deductible.
The 501 (c) 3 process is somewhat complex and time consuming. The IRS estimates that it would take someone not familiar with the procedure between 30-100 hours to complete.
Let one of the convenient and affordable document preparation Legal Document Assistant. help you incorporate your Not For Profit and walk you through the 501 (c) 3 IRS filing.
There are several matters of importance when investigating how to start a business in California. Some of these include 1) choosing the right business (sole proprietorship, corporation, limited liability company, or partnership), 2) choosing your company name, 3) selecting your product or service, 4) obtaining the necessary licenses and permits and 5) getting the business up and running.
How to Start Your Small Business
- Choosing Your Business Entity
- Choosing Your Company Name
- Selecting Your Product or Service
Obtain Necessary License & Permits
Start your Business today!
We The Document can save you hundreds of dollars by preparing all the necessary documents required to get your new California business up and running, and you won’t have to hire an expensive attorney! If you want to learn how to start a new business in California and need help with the paperwork, call us today for quick, low-cost help!
When working with We The Document, you will deal with a live Registered Legal Document Assistant. Our services provide flexibility for our customers and will always be based on flat, low-cost fees. Call us today!
|General Corporation||Includes standard minutes, bylaws, resolutions, stock certificates and corporate binder.||Secretary of State fee: $100.00||$399|
|S-Corporation (Includes S-Corp Election)||Includes standard minutes, bylaws, resolutions, stock certificates and corporate binder.||Secretary of State fee: $100.00||$399|
|LLC||Includes Operating Agreement and corporate binder.||Secretary of State fee: $70.00||$399|
|Non Profit Corporation||Includes standard minutes, bylaws and corporate binder.||Secretary of State Fee: $30.00||$399|
|501(c)(3) Non Profit Federal Tax Application||$575|
|Walk Through Service with Secretary of State||$165|
|Registered Agent for Service (Annual)||$150|
|IRS S-Corp Election only||$50|
|Fictitious Business Name||Includes facilitating processing and publication. Filing fee and publication fees vary from county to county.||$150|
|Basic Partnership Agreement||$250|
Other Business Services. Call for Quote
Business Services We Offer (State filing fees additional)
- General Corporation: Includes standard minutes, bylaws, resolutions, stock certificates and corporate binder. – $275
- S-Corporation (with S-Corp election) Includes standard minutes, bylaws, resolutions, stock certificates and corporate binder. – $310
- LLC: Includes Operating Agreement and corporate binder. – $399.00
- Non Profit Corporation: Includes standard minutes, bylaws and corporate binder. – $399
A trademark is a word, phrase, symbol or design, or a combination of words, phrases, symbols or designs, that identifies and distinguishes the source of the goods of one party from those of others.
If a person or business performs services instead of manufacturing goods or products, a service mark is filed instead of a trademark. A service mark is the same as a trademark, except that it identifies and distinguishes the source of a service rather than a product.
A trademark lets a manufacturer or producer of goods protect the logo, design, etc., associated with its goods. For example, “Coca-Cola” is a federally registered trademark of the Coca Cola Company. As such, only the Coca Cola Company has the rights to use the term “Coca-Cola.” It is important to remember a trademark or service mark can only be obtained for unique, distinctive, or descriptive goods or services associated with you or your company. Generic terms cannot be protected by trademarks or service marks.
Trademark applications are filed with the US Patent Trademark Office. Once the application has been approved for meeting the minimum filing requirements, it is forwarded to an examining attorney for review. This process may take a number of months. A complete examination will be conducted which includes a search for conflicting marks, and an examination of the written application, the drawing, and any specimen. Call for a Quote.