In our modern economy, companies should attempt to cut costs wherever possible. But at some point companies hit a wall where additional cost reductions do not seem possible. Often, these cost walls develop because of overly complex corporate structures. Entities that were formerly useful can become burdens when their purpose disappears. Sometimes these entities remain from a merger or acquisition or may have been formed to facilitate a now defunct tax strategy or to hold a formerly important line of business. To get to the next level of cost savings, it is often necessary to look at the company’s legal structure, the company’s backbone. Continue reading “Streamline Your Company’s Legal Structure for Savings”
Persons holding equity interests in a business can use a buy-sell agreement to ensure the continuity of the business and to solidify their expectations regarding the taxes, rights, and obligations of each party. The buy-sell agreement can dictate the method by which a person’s equity interest will be purchased. Buy-sell agreements can be used by nearly any type of entity, regardless of whether the entity is a corporation, LLC, or partnership.
When purchasing real estate for investment, you should be concerned about the liability your investment property can create. Often, your biggest worry will be paying the mortgage, but don’t think that’s the extent of your possible liability. A personal injury attorney could turn your retirement investment into a wealth destroying nightmare unless you protect your assets.
The most common way to minimize your potential liabilities would be to have your properties held by and managed by a separate entity with limited liability. While you may consider the property to be separate from your personal assets, unless you proactively create that separation, an attorney will pursue your personal assets in addition to the value of the property itself… Continue reading “Form a Maryland LLC for Real Estate Investments”
When forming a new LLC or corporation many contemplate whether it’s better to form their entity in their home state or in another, such as Delaware or Nevada. For most small businesses, the best state for formation is its home state.
Many believe their businesses will receive tax or legal benefits for forming in an alternative state, and legal document mills often perpetuate these beliefs to sell incorporation packages… Continue reading “Where Should You Form Your Entity?”