Category: Contracts and Business Transactions

“Transferring” a Liquor License in New York

“Transferring” a Liquor License in New York

It is common to hear people refer to “transferring” a liquor license upon the purchase or sale of a business, but, because of how the liquor authority evaluates liquor license applications, there really is, by definition, no such thing.  But don’t take my word for it.  The Chief Executive Officer of the New York State […]

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Basics About Managing Your Corporation

Basics About Managing Your Corporation

While limited liability companies have become quite popular, businesses that are likely to grow into large businesses should generally operate as corporations. Benefits of Corporate Form  The limited liability and tax benefits of doing business in the corporate form result from the corporation being treated as a separate entity. To obtain these benefits, it is important […]

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Basics About Properly Managing Your LLC

Basics About Properly Managing Your LLC

Limited liability companies have become very popular because of their flexibility with respect to internal organization and favorable tax treatment by the IRS.  Below are a few basics to keep in mind as you operate a business using the limited liability company form of business entity. Separate Entity It is very important that you keep […]

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How to Start a Business with a Partner

How to Start a Business with a Partner

It is impossible to overstate how carefully one must approach starting a business with a business partner.  First and foremost, there must be open and honest communication about each person’s vision for the business, goals and exit strategy, roles, abilities and limitations, and there must be appropriate documentation prepared setting out what the business relationship […]

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Things Entrepreneurs Never Should Say

Things Entrepreneurs Never Should Say

We regularly advise entrepreneurs about how to start out properly and how to deal with particular issues that are likely to arise, and this piece by small business expert Rhonda Abrams could not have said some things better. Below are seven things that she says entrepreneurs should never say, and we agree: I have come […]

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Do Not Expect an Internet Operating Agreement To Do The Trick

Do Not Expect an Internet Operating Agreement To Do The Trick

I come across this issue so often, I have decided that I am going to write about it often with the hope that I can assist some people with avoiding a potentially critical early stage mistake. Oftentimes when I have a discussion with someone who had a bad partnership agreement (this is just a general reference […]

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The Importance of Well Drafted Employment Agreements

The Importance of Well Drafted Employment Agreements

Not every business is of the type that requires contracts with employees, particularly businesses that have high employee turnover, but, otherwise, most business owners should seriously consider whether to enter into employment agreements with their employees.  Some of the reasons for doing so are to clearly define the employee’s job and your expectations; clearly set out compensation; […]

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The Importance of Non-compete and Non-solicitation Provisions in Your Employment Agreements

The Importance of Non-compete and Non-solicitation Provisions in Your Employment Agreements

If you are going to have your employees sign employment agreements, then you should assess whether to ensure that those agreements include non-compete and non-solicitation provisions. A non-compete provision prohibits the employee from entering into a business that is competitive with yours for some period of time after the termination of their employment with your […]

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Why Well Drafted Partnership Documents Matter: Court Holds that Funds Paid to LLC By Members After Initial Capital Contributions are Loans by Default

Why Well Drafted Partnership Documents Matter:  Court Holds that Funds Paid to LLC By Members After Initial Capital Contributions are Loans by Default

The following illustrates why well drafted operating, partnership, or shareholder agreements among business partners (the type of agreement is related to the type of entity) are essential.  And it is substantially more cost effective to pay a professional to properly draft these documents up front as opposed to litigating the matter later. As the New […]

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7 Steps to Starting Your Own Business

7 Steps to Starting Your Own Business

We’ve compiled a detailed list of steps for forming a business in New York, which you can find here, but this article is more broadly applicable and sets out a great roadmap: People are always asking for a list of fundamentals, a checklist they can use to start their own businesses. From your business type […]

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Have Your Contracts Reviewed

Have Your Contracts Reviewed

If you have not had your business contracts reviewed by an NYC business lawyer for a while (over a year), you should seriously consider doing so now. First, even if you had your current lawyer (with whom you no doubt have an excellent working relationship and whose expertise and advice you trust without question) prepare those […]

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