After California has fully reopened its economy on June 15, 2021, many California employers and employees alike have been wondering, “Can an employer compel its workforce to get vaccinated prior to returning to work?” The short answer is, “Yes.” An increasing number of companies in California have mandated vaccination policies…
An ever-increasing number of startups and companies in California are opting for direct listings as an alternative to going public through an initial public offering (IPO). If you ask any business owner in California, “What is the hardest part of launching and running a company?” you will probably hear, “Raising…
After the Securities and Exchange Commission (SEC) amended its “accredited investor” definition in August 2020, it amended its rules once again in November of the same year. In its latest rule amendments, the SEC increased the annual caps on equity crowdfunding and raised the maximum offering amounts for Reg A+…
In December 2020, the Delaware Supreme Court broadened the scope of stockholders’ pre-litigation inspection rights. In a unanimous decision, the Supreme Court reaffirmed the Delaware Court of Chancery’s ruling in Lebanon County Employees’ Retirement Fund vs. AmerisourceBergen Corp. When reaffirming the court’s decision, the Delaware Supreme Court addressed the circumstances…
As a business owner, one of the first decisions you will make is to choose a business entity type. California recognizes many different types of business entities. Each comes with both benefits and limitations, so it is important to work with an experienced California business lawyer to be sure that…
Running a business is complicated in the COVID era, especially if you run a business in California. After California reopened its economy in June 2021, employers have had to make sure they comply with all applicable state laws, local ordinances, and rules to stay open and avoid hefty fines. Below…
Accredited investors have access to a wider range of investment opportunities under federal securities laws. While there may be more opportunities available to accredited investors, these opportunities can also carry greater financial and legal risks. The law assumes that accredited investors have enough knowledge to protect themselves from these risks.…
Capitalizing any new company can be a complicated matter. If too much equity is given away, founders can lose control of their own ideas and innovations. On the other hand, if not enough capital is raised, the business could be more likely to fail due to a lack of critical…
A stock option pool has become an increasingly popular tool for startup companies. Entrepreneurs seeking to attract talented employees will often offer incentives that give employees motivation to make the company as profitable as possible, and equity compensation is a very popular option. There are different ways to offer these…
Delaware has long been known as a popular state for incorporation of a new business. Some entrepreneurs think this is solely because of tax benefits, but there are many legal and practical benefits to incorporating a new business in Delaware. Here are some of the most common: Management Friendly The…