April 9, 2020 / by Kameron Kramer / Document and Contracts / 0 comments
We all know that business deals involve careful consideration of company finances, risk, and potential gain. But the contracts underlying those deals involve another form of consideration—something that demonstrates each party has a stake in the outcome. In fact, contracts are only legally binding if there is consideration (along with an offer and acceptance, as […]
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What is Fair Pay for Work Done?
April 21, 2020 / by Larry Donahue / Document and Contracts / 0 comments
Suppose you have a small manufacturing shop. A customer you have made parts for in the past calls and says he has an emergency. He asks that you manufacture, right away, dozens of parts- identical to parts you have made for him in the past. You send your client an e-mail letting him know that […]
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Consideration in Contracts
April 9, 2020 / by Kameron Kramer / Document and Contracts / 0 comments
We all know that business deals involve careful consideration of company finances, risk, and potential gain. But the contracts underlying those deals involve another form of consideration—something that demonstrates each party has a stake in the outcome. In fact, contracts are only legally binding if there is consideration (along with an offer and acceptance, as […]
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Applying for SBA Disaster Loans? Make Sure Your Operating Agreement Is Up to Date.
April 6, 2020 / by Kristy Donahue / Document and Contracts / 0 comments
In the mad dash to get in line for the cash coming to business owners via the CARES Act, take a few minutes to reflect on your formation documents. Specifically, your Operating Agreement. If your Operating Agreement is out of date, it could delay your access to the SBA disaster loans. Why is an Operating […]
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Why Purchase Agreements Should Not Be Templates.
March 23, 2020 / by Ian Alden / Document and Contracts / 0 comments
In previous blogs, I’ve talked a bit about why it’s a good idea to have an attorney prepare proper purchase documents – Purchase Agreements, a Bill of Sale, and possibly a Loan Agreement or Promissory Note (depending on how the business purchase will be financed). You could conceivably spend a few thousand dollars on attorneys’ […]
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Using a Force Majeure Clause to Re-Negotiate with Vendors and Landlords in Light of the COVID-19 Pandemic?
March 20, 2020 / by Larry Donahue / Document and Contracts / 0 comments
In today’s COVID-19 environment, businesses are being told to close their doors and send employees homes. As such, many business owners are struggling to earn enough revenue to be able to meet their contractual obligations to their vendors, landlords and banks, let alone make payroll. With financial disaster looming for so many businesses, do standard […]
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Beware of Real Estate Contracts
February 19, 2020 / by Carrie Cook / Document and Contracts / 0 comments
Although more common on the residential side, business owners sometimes sign real estate contracts instead of mortgages as a way to get into the property fast. Real estate contracts may seem ideal for individuals or businesses who aren’t able to purchase property outright. However, before buying through a contract, there are some serious pitfalls to […]
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Operating Agreements and Taxes: What You Need to Know
January 15, 2020 / by Ian Alden / Document and Contracts / 0 comments
As you may have gathered from some of our previous articles (for example, read “Does your LLC have a proper Operating Agreement?” and “Important clauses for LLC Operating Agreements“), the Operating Agreement is the foundation of any limited liability company. If yours is missing a lot of key terms and conditions, or, even worse, if […]
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What is a Bad Operating Agreement?
January 13, 2020 / by Larry Donahue / Document and Contracts / 0 comments
I bet you could guess that most of our revenue as a law firm, comes from expensive litigation. But, did you know that most of that expensive litigation is due to partnership disputes involving a bad Operating Agreement? What is a Bad Operating Agreement? An inadequate Operating Agreement is either a free template you found […]
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Free Operating Agreement Template – Bad Idea!
January 8, 2020 / by Larry Donahue / Document and Contracts / 0 comments
A Free Operating Agreement Template doesn’t make anyone money, so you have to wonder why companies make them available? As a law firm, it probably wouldn’t surprise you to hear that we make most of our money in legal fights — when our clients are in a knock-down, dragged-out fight in litigation. Some of our […]
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Important Clauses for LLC Operating Agreements
January 6, 2020 / by Larry Donahue / Document and Contracts / 0 comments
The Operating Agreement acts like a “partnership agreement” between the owners of a LLC. Important clauses for LLC Operating Agreements are critical, and a well-written and customized Operating Agreement for your business is essential to preventing very expensive problems from rearing their ugly heads years later. The problem for many business owners, is they formed […]
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