You’ve worked out your business idea, but how do you move on to the next step and get your business off the ground? Access to capital is cited over and over by small business owners as one of their biggest challenges. Understanding your options for funding is the first step toward securing it and in this article we’ll cover several options. Before we dive in, though, it’s good to know that most small businesses piece together their funding from several different sources over time. So take stock of where you are and what you need for the near future knowing... READ MORE

Every entrepreneur knows that having enough money to start the business is mission critical—everything needed to turn ideas into a viable business requires money. The good news is there are many resources and options for business owners when it comes to business capital, and several don’t require setting foot in a bank. Personal Savings In business, “bootstrapping” means starting a business without external help or capital. Using personal savings as business capital is one form of bootstrapping that allows you to avoid relying on third parties, investors, or a financial institution for funding. While using your own savings may have... READ MORE

According to the Small Business Administration (SBA), 80% of businesses survive the first year, but almost half of the businesses fail by year five, so it's a progressive downslide from year one. However, successful entrepreneurs are increasingly encouraging new generations to start a business. Entrepreneurs and professionals that support small businesses are building a community of legally savvy entrepreneurs, sharing legal knowledge and information that entrepreneurs need to know right from the start and at every stage of their business development. To prevent failure, it’s important to know what can cause it. The reason that many small businesses fail is... READ MORE

Solid legal structures, which include a business entity and customized contracts, are essential for business success. There are several types of business structures in the U.S. Each structure has different tax, income, and liability implications for businesses owners and their companies. Accountants are a good resource when determining the type of business entity. Sole Proprietorship Sole proprietorship is the simplest organizational structure available for businesses. A sole proprietorship is just a single person who does business through a fictitious business name. Businesses that typically form sole proprietorships are home-based businesses, shop or retail businesses, and one-person consulting firms. Partnership A... READ MORE

The coronavirus pandemic is forcing employers to make tough decisions that could lead to legal consequences, including a rise in discrimination claims. As in all employment-related decisions, it is important to tread cautiously when considering how your business will respond to COVID-19. Crucially, it is important to follow CDC guidance, and avoid "mak[ing] determinations of risk based on race or country of origin," in order to avoid "stigma and discrimination in the workplace." Instead, when deciding whether to send someone home from work, make sure that your focus is on individuals who demonstrate symptoms of potential COVID-19 infection (fever, cough,... READ MORE

The COVID-19 outbreak has prompted unprecedented social distancing recommendations and mandated shutdowns. These steps are in place to reduce the spread of the virus, but pose a serious threat to small businesses who rely on customers visiting their restaurants and brick-and-mortar locations to stay afloat. In an effort to reduce the negative impact of coronavirus, the U.S. Small Business Administration is offering (in designated states and territories) low-interest federal disaster loans for working capital to small businesses and private, non-profit organizations suffering substantial economic injury as a result of COVID-19. SBA’s Economic Injury Disaster Loans, issued as provided by the... READ MORE

Small business owners must be constantly vigilant to ensure that their business is in compliance with state and federal regulations. One common issue for small businesses is ensuring that their websites are ADA-compliant. The Americans with Disabilities Act (ADA) was enacted in 1990 to prohibit discrimination against accommodations for people with physical or mental disabilities. The ADA also extends to the digital realm, requiring businesses to ensure web content is accessible to all users. In addition to the federal law (the ADA), California businesses also must have compliant websites under state law (the Unruh Act). When it comes to ADA... READ MORE

Licensed professional fiduciaries, like other licensed professionals, may find that they want to form a corporation in order to further protect themselves and better serve their clients. Many professional fiduciaries believe that a professional corporation, which is the type of entity employed by other licensed professionals like lawyers and doctors, would best suit their needs. Most states impose restrictions on who may own a professional corporation and the work it can do, and California is one of them. Unfortunately, there is not currently a mechanism in California for forming a professional fiduciary professional corporation. Though professional fiduciaries are required to... READ MORE

The New Year brings a number of new, significant employment laws for California businesses. These rules range in topic from worker classification to privacy. Employers need to consider these developments, understand how the laws affect operations, and adjust their policies and practices to ensure compliance. Worker Classification One of the biggest, most attention-grabbing changes coming to the workplace in 2020 is AB 5, the new law that clarifies the test used to determine whether a worker is an independent contractor or a normal W2 employee. AB 5 incorporates the “Dynamex ABC Test” into various parts of California’s labor statutes. From... READ MORE

Under the Healthy Workplaces, Healthy Families Act, employees in California who work for an employer for at least 30 days within a year (tracked from the beginning of their employment, rather than by calendar year) must be provided paid sick leave. This includes full-time, part-time, and temporary employees. Regulations like this can be confusing. Though the Healthy Workplaces, Healthy Families Act sets out specific paid sick leave requirements, the exact amount that you as an employer may owe to any individual employee can depend on a number of factors. One of these factors is which way you decide to calculate... READ MORE