United States law allows every person and/or legal entity, such as a business, to trade, borrow and lend as it sees fit. This right is fundamental to our free-market system. It gives those who sell goods and services the freedom to offer “terms” – at their own risk. It gives lenders the right to lend – at their own risk. And it allows businesses and individuals to borrow and make promises to pay – at their own risk.
Legal
Where to Keep Important Documents
When you die, the bank that has your safe deposit box may “seal” it until sometimes-lengthy legal procedures end. This can occur even if a second registered holder of the box is still alive. Only government and court-appointed representatives have access to the box during those procedures. Here are suggestions for using a safe deposit box wisely.
C-Corp Status: A Killer When You Sell
C-corporation status offers few benefits but substantial drawbacks for the typical private-business owner. Why haven’t you switched to an S or LLC? It’s cheap and easy. Just file a form with the IRS. Talk to your financial advisor and if he or she agrees, get it done.
Entity Crisis: Choosing the Right Legal Entity
Selecting the most appropriate legal entity for your business can be a confusing task. However, picking the one that strikes a comfortable balance between cost, complexity, liability protection and taxation can give you peace of mind at a time when you have much on your mind. Use this overview to see the big picture and begin to ascertain which will suit you best.
Bankruptcy Law Changes Make it Harder to Flee Financial Obligations
Newly enacted changes to U.S. bankruptcy law attempt to make it more difficult for individuals to avoid financial obligations by filing for bankruptcy. The result? More people will be forced to work out repayment plans.
Laws Require Businesses to Protect Employee Medical Data
State and federal laws require organizations such as businesses to respect and protect as confidential any health or medical information to which it might become privy. As a business owner, you risk financial loss if you fail to comply with these laws. The governing federal law is the Health Insurance Portability and Accountability Act of [...]
What About the Limited Liability Partnership?
The LLP is the youngest of legal entities. It arose out of the savings and loan crisis of the 1980′s. The state of Texas was the first to created the entity to help protect lawyers that were being pursued by the federal government for their work for S&Ls.
Entity Crisis: Choosing the Right Legal Entity
Selecting the most appropriate legal entity for your business can be a confusing task. However, picking the one that strikes a comfortable balance between cost, complexity, liability protection and taxation can give you peace of mind at a time when you have much on your mind. Use this overview to see the big picture and begin to ascertain which will suit you best.
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