A common pitfall for employers in California is not adhering to the state’s strict requirements to provide employees with appropriate meal and rest breaks. Non-exempt workers (as a general rule, this is anyone who would be entitled to overtime pay) are entitled to a 30-minute meal break on workdays that are longer than five hours and an additional 10-minute break for every (approximately) four hours worked. In other words, in a “standard” eight-hour day, employers should be providing their non-exempt workforce with at least two 10-minute paid rest breaks and one 30-minute unpaid meal break. Rest Breaks Though “one rest... READ MORE

As your business grows, you’ll bring in team members to help you manage everything from driving sales to keeping the books straight. Eventually, you’ll hire a human resources expert to help you manage your employees, but even before you grow to that point, you can still take steps to avoid stumbling into any common legal pitfalls in the hiring process. Application When searching for a new team member, you should start by creating a job description that makes it clear what you’re looking for and what it will take to be successful in the role. This is the time to... READ MORE

Contracts form the foundation of all business. A business uses contracts to form a relationship with its suppliers, contractors, customers, and employees, which act as an assurance that what it has asked for will be completed and that products purchased will arrive in time and perform as advertised. A contract is fundamentally an agreement between two or more parties that’s legally enforceable. However, a contract does not have to be written in order for it to be enforceable by law. Contract Basics In order to create a valid and enforceable contract, there must first be a mutually recognized offer, clear... READ MORE

As a small business owner, you’re probably going to see a lot of contracts. Contracts are vital to any business, since they’re used to buy and sell goods and services, hire people, protect secrets, establish partnerships, and much more. These contracts can protect you, protect your business, set your salary, and guide business relationships in a positive direction. Because a well-drafted contract can be so central to business success, before entering into an agreement, you should be sure to take the time to properly review and negotiate the details. Read the Contract: Before signing anything, take the time to actually... READ MORE

As your business grows and changes, you may reach a point where you want to sell all or part of your franchise locations. This could be due to retirement, health, family changes, or simply because you want to do something different. That’s when you’ll find that selling a business requires just as much planning and strategy as growing one, at least if you want to maximize the value. Buyers often make a purchasing decision based on how quickly a business will provide a return on investment, so it’s important to take the time to set your business up in a... READ MORE

If you’re growing a successful business, you’ve probably learned along the way that you can’t do everything. To help you grow your business, you may decide to bring in a consultant to help you tackle a certain challenge or to help you set up a new aspect of your business. Consultants are a great resource for any business, whether you’re looking for management advice or marketing assistance. They’re great at providing highly skilled help, but they are also a source of liability, and there’s a few things you will want to keep in mind before you retain a consultant for... READ MORE

Licensing intellectual property allows businesses to capitalize on the name of other brands in exchange for royalty payments. The owner of the intellectual property is known as the licensor and the business or individual gaining a right to use the intellectual property is known as the licensee. There are many well-known brands and products that utilize licensing as part of their business strategy. For example, t-shirts, shoes, hats, etc. bearing the name of a sports team requires a licensing agreement that explicitly permits the manufacturer to produce these goods with the sports team’s intellectual property emblazoned upon it. Generally, the... READ MORE

Workplace harassment is a troubling and difficult subject that’s been increasingly prevalent in the news as more people come forward to discuss their experiences. As a result, businesses that may have previously considered themselves well equipped with policies to prevent and confront harassment are now reevaluating these policies and updating the types of training they provide to supervisors and employees. As a business owner, it’s important to have clear policies in place to reduce the potential for harassment. These policies help ensure your employees work in an environment that is professional and respectful so they can focus on doing their... READ MORE

The new ban on plastic straws spreading across cities in California is just one example of legislative bodies reacting to constituent pressure to take steps, however small, to try and encourage environmentally friendly decisions. Whether or not these sorts of rules should be legislated or allowed to evolve naturally due to customer pressure can be debated endlessly, but the repercussions for businesses, as conservation is mandated, must be discussed. There is a fine attached to handing out plastic drinking straws if your business is located within one of the cities that has passed the ban. As more and more cities... READ MORE

Business owners occasionally have to deal with disputes with customers, suppliers, and employees. These are sometimes resolved quickly and amicably, but in other cases, resolution takes longer, or litigation is started before an agreement can be reached. In many of these instances, a settlement agreement is a contract between two or more parties stating how they plan to resolve a dispute. When Do You Use a Settlement Agreement? Settlement agreements are useful when resolving a disputed claim, they provide you the protection of having a resolution of the issue, which may prevent the issue from having to be resettled again... READ MORE