Business Lawyers Blog

Asset Protection for Bay Area Entrepreneurs

November 17, 2023 | Jared Amory

Starting a new business venture is an exhilarating journey, but also involves significant financial risks. Seasoned entrepreneurs understand the importance of safeguarding their personal assets from undue exposure. If you’re an aspiring entrepreneur in the Bay Area embarking on your first startup, the experienced San Jose startup and financing lawyers at Structure Law Group can provide valuable guidance on developing a comprehensive asset protection strategy.

Although every situation is distinct, here are a few essential considerations to keep in mind when safeguarding your personal assets from potential business liabilities:

Create a Limited Liability Business Entity

Can You Change a Sole Proprietorship to an LLC?

November 10, 2023 | Sonia Gore

Many Californians start their own business without creating a separate legal entity. An individual who does this is known as a sole proprietor. If this describes your current setup, you may want to consider adopting a more formal structure, such as a limited liability company, as your business continues to grow. The California LLC attorneys at Structure Law Group can advise you of the risks and rewards of such a move.

Legal Liability and Tax Considerations

The benefit of being a sole proprietor is that you generally do not need to file much if any legal paperwork. Any income or losses incurred through the business is simply reported on your personal tax return at the end of the year on your IRS Schedule C.

Tips to Grow Your Bay Area Business

November 3, 2023 | Sonia Gore

The Silicon Valley region hosts numerous startups that have sought counsel from Structure Law Group to support their business growth. As San Jose business attorneys situated in the heart of Silicon Valley, Structure Law Group, LLP actively aids our clients in maximizing the potential of their new ventures. Our attorneys adopt a life cycle approach, providing guidance on entry strategies, growth management, and exit mechanisms to ensure comprehensive support at every stage of their journey.

The Silicon Valley business lawyers at SLG offer you a full-range of legal services to startups.

While every business is different in terms of their needs and plans for growth, here are five general tips to keep in mind when building your own startup.

The Importance of Due Diligence

October 27, 2023 | Jared Amory

The phrase “due diligence” is often used in the law and is a critical component when contemplating a business transaction. Due diligence means thoroughly investigating and analyzing the facts and key terms of the deal before engaging in a major business transaction, such as acquiring a company or investing in a start-up. These deals involve decisions that can have a significant financial impact, potentially involving millions or even billions of dollars. Therefore, it is essential to ensure that all parties involved are fully informed and aligned before finalizing any agreements.

The experienced Silicon Valley mergers and acquisitions lawyers at Structure Law Group can assist you in performing due diligence before entering into a transaction, either as a buyer or a seller. We know how to spot the various “red flags” that can doom a proposed deal and provide expert guidance on how to steer clear of or resolve such hazards.

The Key Elements of Due Diligence

Who Can Form an LLP in California?

October 20, 2023 | Structure Law Group, LLP

For certain licensed professionals, a (LLP) offers an alternative to general and limited partnerships and limited liability companies and can offer several advantages over those business entities. The California partnerships lawyers at Structure Law Group can help you decide if an LLP is the right choice for your own business.

Only Certain Professionals Need Apply

Unlike a general partnership (GP), limited partnership (LP) or even a limited liability company (LLC), not everyone can form a limited liability partnership (LLP). California law currently limits LLPs to individuals licensed in one of the following professions:

Corporate Transparency Act

October 6, 2023 | Mark Figueiredo

As of January 1, 2024, all entities that are not exempt in California must file reports on their “beneficial ownership” with the Department of the Treasury’s Financial Crimes Enforcement Network (FinCEN). These reporting rules were part of the Corporate Transparency Act (CTA), which itself was enacted by Congress as part of the 2021 Department of Defense authorization bill. The Los Angeles corporate law attorneys at Structure Law Group, LLP, can advise you on your company’s obligation under the new rules and how to avoid potential regulatory issues with FinCEN.

New Requirements for Disclosing “Beneficial Owners” of Foreign and Domestic Companies

At its core, the CTA is an effort to enhance the Treasury Department’s ability to identify and take legal action against potential money laundering activities. In adopting the CTA, Congress determined that many actors involved in illegal activities like terrorist and tax fraud used “shell” companies to conceal their identities and move their illegally obtained proceeds through the U.S. financial system undetected. Given that corporation law varies from state-to-state, there were no uniform national requirements for reporting the actual or “beneficial” owners of many corporate entities.

Important Questions That Protect Your Company in a Commercial Lease

September 29, 2023 | Structure Law Group, LLP

When a business in Texas is either establishing its first location is looking to upgrade to a bigger space, a commercial lease is often something requiring a business owner’s signature and can be tricky to navigate. You should work with a Texas business attorney to be sure that you are getting the best offer for all of your immediate and long-term needs.

It is important for business owners to understand that commercial tenants often do not have the same rights as residential tenants. For this reason, legal representation is highly advisable because many commercial leases will be seeking long-term arrangements that can involve significant cost concerns.

Common Commercial Lease Questions to Ask

Can We Pay Our Employees in Cryptocurrency?

September 22, 2023 | Structure Law Group, LLP

For many employers, paying employees with cryptocurrency is probably something you’ve never considered before. But these days, cryptocurrency is inching closer and closer to the mainstream.

Proof of how quickly cryptocurrency is becoming the new normal was evident when New York mayor Eric Adams vowed to accept his first three paychecks in bitcoin, and Miami Mayor Francis Suarez essentially did the same.

In April 2022, the Laredo Morning Times reported that Vantage Bank was planning to offer a new way for their employees to have a savings plan with the company, stepping away from traditional savings plans and offering a digital currency savings plan using bitcoin. While the bank was offering the new savings plan, it planned to continue to provide a traditional savings plan as well.

Incorporating a Company in Texas

September 15, 2023 | Structure Law Group, LLP

Incorporating a business in Texas involves filing incorporation paperwork with the Texas Secretary of State through a fill-in-the-blank certificate of formation that can be completed with or without the help of a lawyer. The Texas Secretary of State recommends that a decision regarding the business structure is one a person should make in consultation with a Texas corporate lawyer and accountant.

An individual person, other corporations, limited liability companies (LLCs), partnerships, and foreign entities can all incorporate businesses in Texas. Incorporating a business will protect the personal assets of a company’s shareholders from business obligations and debts. This article provides an overview of the steps involved in forming a Texas corporation.

Selecting a Corporate Name

Important Steps for Selling Your Business in Texas

September 8, 2023 | Structure Law Group, LLP

For many business owners, there comes a day when it is time to sell their company. When it is your time to sell our business, make sure that you have a Texas M&A attorney by your side to ensure you take all steps necessary to protect your interests and maximize the value of your business.

Your business may be worth more than just the total value of their assets, and this may impact how you sell your business. You will need to decide whether you want your sale to be an asset sale, where you sell the business’s assets but not the entity that owns them, or an ownership sale, where you sell your ownership stake in the entity, which continues to own all of the assets.

Preparing for the Sale of a Business