Just like large companies, small businesses can leverage the opportunities that joint ventures can provide to thrive in today’s economy. Entering into a joint venture with other businesses and entrepreneurs could open the doors to gaining access to more capital, offering more services to clients and may help many small businesses thrive in today’s business landscape. In this article, we will explore some essential tips and considerations before entering into such partnerships. Reasons For Entering A Joint VentureEntering a joint venture can be a strategic move for small businesses to leverage the advantages that collaboration and partnership bring. By tapping... READ MORE

Selling a small business is a major decision that should not be taken lightly. It's important to consider several factors when deciding whether to sell, including the current market conditions, your personal goals, and the financial health of your business. Here are some key points to consider when deciding whether to sell your small business: Timing: The timing of when to sell your business is crucial. The market conditions, trends, and the state of the economy can play a major role in the sale of your business. Generally, it's best to sell your business when it's in a period of... READ MORE

Frequently, clients will tell us they have a great idea that they would like to license others to operate. When we explain that they are proposing a franchise arrangement, we get the response, “I don’t want to be a franchisor; can’t I just grant a license?” What is a “franchise”? A franchise is a special kind of license. In general, all franchises include a license, but not all licenses are franchises. What’s the difference?  A franchise is an arrangement that normally includes three elements (there are exceptions in some states, but this is the rule in California and federally). We... READ MORE

Solid legal structures based on setting up the right business entity and working with customized contracts are essential for business success. But is your business structure outdated based on where you’re at today? The legal structure you originally set up has worked for your business to this point, but each year brings numerous changes to tax laws, employment laws, and other areas that may impact your business and its liability implications. As we continue to grow and evolve in our business, it’s always a good idea to check in with your business attorney, accountant and tax advisor regarding where your... READ MORE

Long before banks are willing to loan money, often when you first have an idea, you raise money from friends and family to start your business venture. Many a long-term successful venture begins this way, with an equipment budget gifted from grandma and supplies expenses from your dad in exchange for a little ownership. Even on slightly larger scales, this is one of the most common ways businesses raise their initial capital. After all, if your friends and family won’t give you money and assistance, you’re unlikely to get it from investors you don’t know or banks that just want... READ MORE

The purchase of an existing business requires a thorough examination of all the information related to that business entity. The goal of this process, known as “due diligence,” is to provide information about the legal and financial state of the business and to reveal potential risks that could impede the future transaction. A comprehensive due diligence review typically warrants the advice of various professionals, including accountants and attorneys, who guide purchasers in the following areas: Financial status. Financial documents, including balance sheets, audited financial statements, income statements, accounts payable and receivable, and tax returns for the past three years should... READ MORE

The purchase of an existing business carries risks if key procedures are not properly executed. There are several steps to purchasing a business, including researching the type of business to purchase, deciding on the terms of the transaction and drafting legal documentation. Below is a general summary of the most important actions to be undertaken by a purchaser in acquiring a business. Determine the structure and scope of the purchase. Once the purchaser has identified the type, size and location of the business he or she wishes to purchase, the purchaser must determine what specifically is being purchased. Some business... READ MORE