As the year end approaches, there are some important questions to ask yourself about your business. Where does your company currently stand financially? What do you plan to achieve in the upcoming year and next five years? In order to answer some of these important questions, the first thing to do, is conduct a year end clean-up for your business.
The first recommendation is to check all your contracts and agreements currently in place, and see if there are any amendments, updates, or law changes that need to be made in the document. If contract and/or agreements need to be updated and have not been done so already, this would be the perfect time to update them for the upcoming New Year.
Secondly, your corporate binders should be updated, as they include all the important legal documents that manage your business. The incorporation documents, the bylaws or operating agreements of your business, the policies and procedures, as well as the minutes from the meetings need to be updated on a bi-annual or annual basis to make sure they comply with the Florida Statutes and new laws in effect.
Another thing to clean up is your employee, independent contractor, and/ or vendor agreements, as they should comply with the current laws, should have a good standing effective date, and still be up to date. Many times when we are retained, we find our client’s agreements are outdated or non-compliant with Florida laws. Maintaining and updating your business paperwork can take a lot of time and effort; however it is a necessary step that needs to be done on a yearly basis, in order for you to run your business effectively and successfully!
If you have any questions about conducting a year end clean-up for your business, feel free to contact your Business Law Attorney today, we will be happy to assist you through this process!
So you have decided to join forces with someone who shares your vision and passion to start a new venture. Before coming up with a business plan, marketing strategies, and services offered, it is important to lay some groundwork and draw up a Florida Partnership Agreement, Florida Bylaws, or a Florida Operating Agreement depending on the type of business entity you form. Although it is not legally necessary to have such a document, the Partnership Agreement along with other preliminary steps discussed in this article will potentially irradiate issues or conflicts arising from poor planning.
This first thing to discuss with your partner is the tasks and roles that each of you will be responsible for. How well do your abilities complement each other? If one is better at keeping track of finances and records, the other may take over sales and marketing. Get to know each other’s strengths and weaknesses, past experience, and expertise. Make sure you both feel comfortable expressing your needs and expectations for your business from the very beginning. Ask questions about values, goals, and motivations to make sure you are on the same page before moving forward. You might want to try working together on a smaller project or plan a trip to focus on understanding your chemistry and how you deal with certain situations on a small scale.
Once you feel confident to move forward, the absolute next step is the written agreement. Your document should include the roles and responsibilities of the partners, exit clauses, compensation, investments, and ownership, among others, depending on the terms. Use this as an opportunity to outline the business terms and establish weekly, monthly, and yearly routines for partners, managers, and staff. Defining each detail about your business and the documents, contracts, and licenses will protect you from headaches and other legal issues if any conflicts were to arise. See what Gulati Law can do for you and your business partner today!
Source: Wall Street Journal – Small Business- Starting a Business