Posted on April 13,2023 in Business Law

One of the most popular types of business formation is a limited liability corporation, often referred to as an LLC. When you are establishing an LLC, it is important to consider also establishing an operating agreement, especially if you have other members in your company. While these agreements are mandatory in some states, they are not mandatory in Florida.

What Should Be in the LLC Agreement?

This agreement will outline the specific duties and needs of each member, as well as specify what the decision-making process will be when it comes to both how the company operates and decisions regarding finances. In addition to the identifying information of the LLC, the following are important terms to be aware of when you are entering into the agreement.

• Business purpose – One of the first things that should be addressed in your LLC agreement is the purpose of the business.

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 Posted on April 07,2023 in Business Law

Every business – whether a small family-owned business or large corporation – will have situations where it will be entering into a contract with another entity. In a perfect world, the two parties sign the contract and everyone lives up to their agreement. Unfortunately, it is not a perfect world and everyday issues come up and contracts are breached, requiring the injured party to pursue legal action against the other. Sometimes the injured party is the one that breaches the contract, while in other cases, it is the other party. Regardless of which side your company is on, understanding what type of breach you are dealing with and having a skilled business attorney representing you is critical to the outcome of the case.

What Are the Types of Contract Breaches?

There are three types of ways a contract can be breached. The first type is referred to as a material breach. In this type, the issue is serious enough that the law excuses the party that was injured to breach their part of the agreement.

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 Posted on March 29,2023 in Business Law

Owning your own business can be rewarding, but it can also be stressful when you find yourself facing a business dispute. And there is good reason for this stress since any business dispute can escalate into an issue that can have a serious impact on your company. This includes both internal disputes and external disputes. The following are some of the most common business disputes that our Florida business law firm handles.

Internal Business Disputes

Some of the most common internal business disputes involve employment issues. These types of disputes include salary disagreements, family leave disputes, discrimination allegations, and wrongful termination claims.

Internal business disputes can also involve partners or shareholders. These are also fairly common disputes in the business world. Some of the issues that are typically involved in these types of disagreements are:

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 Posted on March 22,2023 in Real Estate

When you are starting your own business, there are a number of issues that you need to make decisions on. One of the most critical of those decisions is where your business will be located. Many businesses prefer to lease property instead of purchasing a property. This usually involves entering into a commercial lease with the property owner. There are certain factors that should be addressed in the lease. Having a qualified business real estate attorney representing you will ensure you are protected.

Entering Into a Commercial Lease

A commercial lease is one that is entered into between a property owner and a business owner. The difference between a commercial and residential lease is exactly as it sounds – a commercial lease is for a property that is zoned by the municipality it is located in to be used for commercial uses, while a residential lease is for residential property.

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 Posted on March 17,2023 in Business Law

At some point, just about every business arrives at a point where a transition is about to take place, but this is often something many business owners do not think about until the moment has arrived. A business transition may come about for a variety of reasons. The owner has decided that it is time to start thinking about retirement or maybe they want to be ready in case the right offer to purchase comes along. Some business owners realize that if something happened to them, no one else is currently available to take over and keep the business running smoothly. Whatever the reason for a business transition, it is important that a business owner takes the steps to make sure that everything is in order for a smooth and successful process.

Organize the Company’s Financial Statements

Regardless of the reason for the transition, whoever will be running the company will need to know the financial position the company is in. If you only have company-prepared statements, consider obtaining reviewed or audited documentation, especially if you are looking to sell the company. Buyers will not accept company-reviewed financials as proof of the company’s financial health.

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 Posted on March 09,2023 in Business Law

According to recent media reports, approximately 20 percent of executives in the finance, insurance, real estate, software, and tech industries are anticipating layoffs and workforce reduction within the next few months. Although not a requirement under Florida law, it is likely that many of these layoffs will involve severance packages. In order to take advantage of a severance package, most employers will require employees to sign a severance agreement.

What Are Severance Agreements?

A severance agreement can be beneficial to both an employer and an employee. They provide protection for the employer in preventing the employee from filing a lawsuit against them in the future. They provide protection for the employee because they stipulate exactly the amount and type of payment and benefits they will receive. There can also be other stipulations added, such as not disclosing the reason for termination to any future prospective employers.

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 Posted on February 28,2023 in Business Law

There are many aspects of a business that company owners need to stay on top of. One of these areas is employment law. As an employer, you need to make sure you are adhering to all federal, state, and even municipal rules and regulations. Even a minor oversight can end up mushrooming into a very expensive legal problem for a company. The following are some of the more common issues that an employment attorney can assist you with. For more detailed information about your company, contact The Elliot Legal Group, P.A..

Drafting and Evaluating Legal Documentation

Federal and Florida statutes require employers to have many different types of policies in place – and those policies need to be in written form. Subjects that should be addressed include operational procedures, company policies, safety policies, and more. These are all considered legally binding documents. In order to make sure all of these policies are within government requirements, it is important to have an employment attorney create and/or evaluate any policies or other documents that will be put in place for employees.

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 Posted on February 21,2023 in Business Law

Many people who decide to start their own business consider purchasing a franchise instead of just striking out entirely solo. Franchises offer the benefits of owning your own business, but with the resources and the support of a large organization behind you. If you are considering purchasing a franchise, the following are some factors that you should consider.

Franchise Financial Stability

One of the most critical factors that should be evaluated in a franchise purchase is the financial health of the company you are considering working with. The financial stability of the company will play a big role in just how successful your actual business will be. Make sure you have all the facts when it comes to the organization’s profitability, debt, cash flow, and other areas of finances. Does the company have the financial resources to handle both the issues that may come up, as well as the resources to handle future growth?

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 Posted on February 14,2023 in Business Law

If you have decided to start your own business, congratulations! There are a number of important issues you will need to decide. One of the most important decisions you will need to make is what type of corporate structure your company will be. One of the most common structures Florida small business owners choose is a limited liability company, also referred to as an LLC. The following is a brief overview of some of the benefits of choosing an LLC for your business. For more detailed information regarding your company, contact The Elliot Legal Group, P.A..

Benefits of an LLC

There are several benefits to forming an LLC. When it comes to taxes, this structure may provide the same pass-through benefits of a sole proprietorship, meaning that all business income can be reported on individual tax returns and is taxed at individual income tax rates, rather than business tax rates. A business attorney can confirm if your company would qualify for this benefit.

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 Posted on February 06,2023 in Business Law

One of the most jarring “shots fired” warnings that a business can receive is a cease and desist letter. These communications are usually a demand that a company stops doing something and if the company fails to stop, the sender of the letter threatens legal action.

If you have received a cease and desist letter, it is critical you do not ignore it. Contact a business attorney right away. An attorney may be able to negotiate a resolution before the other party files a lawsuit.

What Is a Cease and Desist Letter?

A cease and desist letter is a warning sent from one party to the other that alleges some type of wrongdoing on the receiver’s part. The letter should detail the alleged wrongdoing and demand the receiver stop. The letter should also alert the receiver that failure to stop the wrongdoing will result in legal action and may even stipulate a deadline.

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