Archive for March, 2010
10 Things About Asset Protection Planning in Florida
1. No Lockboxes. Asset protection planning does not depend on sure-fire techniques and strategies that are guaranteed to protect your assets from every creditor in every situation. Instead, asset protection planning requires thoughtful decisions about the manner of owning your assets to cause your most important assets to be least desirable to potential creditors. 2. Act Now! [...]
Responsible Estate Planning
I like seeing estate planning related articles in major news sources. They usually confirm that the practices I preach have real-world application, and they usually explain things plainly. Two recent, short articles–one in The Washington Post and the other in The Wall Street Journal–both fit the bill. In The Washington Post, Rosalind Resnick (Axxess Business Consulting) wrote “The Parental [...]
Who is the “Prevailing Party”?
Litigants are generally responsible to pay their own attorneys’ fees and costs (this is called the “American Rule,” as opposed to the “British Rule”). But many contracts include a provision like the following: Attorneys’ Fees. In the event of a dispute between the parties with respect to this Agreement, the prevailing party shall be entitled to recover [...]
Standard Terms in Non-Public Financing Transactions (S-Z)
The following concludes this list of some of the standard terms that are used in financing transactions for start-up and other pre-IPO ventures. Also see Standard Terms in Non-Public Financing Transactions (A-F) and Standard Terms in Non-Public Financing Transactions (G-R). S-3 Registration A simplified form of registration statement that may be used by certain companies [...]
Standard Terms in Non-Public Financing Transactions (G-R)
Following are more standard terms that are used in financing transactions for start-up and other pre-IPO ventures. IPO An acronym for “initial public offering.” This term generally refers to the first public offering of stock by a company. Issued and Outstanding Stock Shares which the company has already sold, or “issued,” and that are presently [...]
Featured Professional – Dan Smith
Daniel Aaron Smith IV, CLU, ChFC Financial Advisor Northwestern Mutual Financial Network 1507 Park Center Drive Unit 1G Orlando, FL 32835-5795 Phone: 407-754-0536 Fax: 407-478-4051 http://danasmith.nmfn.com From Northwestern Mutual’s Website: We provide you with access to a nationwide network of representatives, advisors and specialists—people who have invested their time and developed their talents to [...]
Standard Terms in Non-Public Financing Transactions (A-F)
The following are some standard terms that are used in financing transactions for start-up and other pre-IPO ventures. Accredited Investor An investor who meets certain financial and other criteria specified in SEC Regulation D. Examples of accredited investors include (1) individuals with a net worth of $1,000,000 or more or (2) individuals who have had [...]
10 Things About Selling a Business
1. What are You Selling? Early in the negotiations, buyer and seller must agree on what is being bought and sold—company stock (or other equity interests) or business assets. Ordinarily, seller would prefer to sell the company stock, because that will make unknown company liabilities buyer’s problem (subject to seller’s indemnification commitment). However, seller might [...]
Tax Free Gifts to Children
Gifts to children can be tax free through the use of a 2503(c) trust (also called a “children’s trust”). These trusts are named after the Internal Revenue Code section that makes these gifts free from taxation. A gift to any person is subject to federal gift taxation unless an exemption or credit applies. The most [...]
10 Things About Buying a Business
1. The Next Right Step. After agreeing in principal to buy the business (through a Letter of Intent, Term Sheet, or handshake), buyer and seller must decide on what comes next. Seller might favor negotiating and signing the purchase agreement, followed by a period of due diligence investigation, followed by closing. Buyer would probably prefer to [...]