Getting your business up and running is only the start of necessary paperwork and filings to keep your business up and running. Keeping track of everything keeps you away from your business.
To avoid penalties, fees, or losing your business status, you will need initial and annual reports, operating agreements, bylaws and resolutions, various legal forms and agreements, registered agents, and, most importantly, a way to keep it all straight. You should develop a relationship with a qualified attorney who can keep your business in constant compliance with state regulations.
A Designated Corporate Agent
If someone sues your business, how do they let you know? If your business failed to file documents, or made an erroneous filing, who does the Secretary of State’s office contact? Who is in charge of filing required documents, like annual reports, business income tax information, and change-of-name documents?
A qualified and informed corporate agent doesn’t have to be an attorney, but it helps; your corporate agent is responsible for keeping track of deadlines, reports, inquiries from the Secretary of State’s office, and even is responsible for accepting legal service, should anyone take legal action against the business.
The attorneys at Abendroth Russell Barnett Law Firm act as outside corporate counsel and registered agents for numerous corporations, limited liability companies, and partnerships.
The Necessity of a Buy/Sell Agreement for your Business
Whatever business you have, it is strongly recommended that you have a buy/sell agreement to guide you and your business in the future. A buy/sell agreement is a contract between you and the other owners or partners that spells out how your business will be divided if you sell the business, or if one owner dies or withdraws from the business.
Not having a buy/sell agreement is a recipe for disaster and litigation. If your business is changing ownership or winding down because of the death of one of the other owners, it means determining the proceeds to the deceased’s spouse at a time that is already stressful and tumultuous for the business. If one of the partners or owners is leaving the business, it is more likely than not that he or she is doing so after a significant disagreement with the other owners. The time has long since passed to properly negotiate an exit package.
Ideally, the buy/sell agreement should be drawn up and completed before or at the same time the business entity is being formed, and each business owner or interested party should have their own legal counsel to ensure that everyone is protected by the agreement.
Contact the attorneys at Abendroth Russell Barnett Law Firm to help draft a buy-sell agreement that will take the guesswork out of your business’ transition plan.
The Need for a Workplace Handbook
Although there is no law requiring private employers to provide handbooks to their employees, there are numerous reasons for employers to do so.
A handbook provides an opportunity to formally welcome new employees, introduce the organization, and explain expectations.
Grouping various employment policies together in a handbook makes it easier for an employer to ensure that each employee receives copies of all relevant policies.
A handbook is a centralized place for employees to look for answers to common questions such as how often employees are paid.
Employers should only include policies they intend to follow because failure to follow written policies can cause employee confusion, significantly damage morale and recruitment efforts, and create legal liability. For example, failure to follow policies could invite claims for detrimental reliance or breach of contract. Additionally, uneven enforcement of a written policy can lead to discrimination claims..
Most importantly, handbooks and signed acknowledgments can assist in an employer’s legal defense. If you need to discipline or terminate an employee, having a written policy to rely on is the first key to the successful defense of an unemployment insurance claim or a wrongful termination lawsuit.
Employers should review their existing handbook annually, or any time pertinent changes to local, state, or federal law occur. If you need to review your existing employee handbook or create a new one to protect your business, contact the attorneys at Abendroth Russell Barnett Law Firm.