Small Business Lawyers

It would be impossible to give you a primer on all of the advantages and disadvantages, but here is a headnote version: C-Corp Pros: Ultimate flexibility with regards to ownership, control, power, etc through the issuance of one or more classes of shares. Cons: Double taxed. You will be taxes as a corporation and as an individual taking a salary from the corporation. S-Corp (this is just a C-Corp electing to be taxed under subchapter S of the IRS code): Pros: Tax advantage for owners (up to 100 people) from not double taxing. Cons: Less flexibility than C-Corp but more granular control than LLC. Depending on the situation, most companies starting out are better off starting an LLC, which has less formalities, and then converting to a S-Corp or C-Corp once they scale and can take advantage. C-Corp, S-Corp, and LLC all have the same level of liability protection if you follow the formalities for formation and maintenance. C-Corps have the most rigor and LLCs have the least. You can also consider LLP and other business structures based on co-owners or other factors that a lawyer can help you evaluate.

Yes. If you are having an event, every participant needs a liability waiver. This is especially important if the event includes activities that may result in someone getting hurt. Additionally, it provides you with an opportunity to disclose the possible hazards and an opportunity for the participant to make an informed decision regarding whether to attend and participate. Finally, even if you have a waiver, you will also want to supplement the waiver with insurance that will cover your event.

The answer to your question depends on a variety of factors, the number of partners, the amount of money involved, the underlying business, e.g., is intellectual property involved, or is it restaurant, and the combines risks associated with the business. At a minimum, you need to detail: who owns how much of the company (50/50; 30/70); how much capital is going to be invested by each party and when that money is to be invested; how is that money to be spent and who can spend that money (and what are the limits); what decisions can be made and who has to approve them (vote or unilateral decisions); who is going to manage the day-to-day operations; what are the requirements for adding capital (and where it comes from) ... and how (or when) to withdrawal capital; how are partners added (or withdrawal voluntarily or forcibly); and, much much more. However, many times forming a small company is a very simple affair, but can be complicated. We highly recommend you speak with an attorney that specializes in small businesses. A good attorney will be able to help you with formation, but also be your (non-owner) partner, "outside general counsel," and faciliator of contacts to help you grow your business. Good luck!

Hello! My name is Damien Bosco, Esq. My law office is located in Long Island City across from Manhattan. If the operating agreement is silent on amendments, the default rule under New York's Limited Liability Company Law (LLCL) would apply. According to Section 402 with exceptions in Section 417 of the LLC Law, the operating agreement can generally be amended by a majority vote of the members, unless the agreement specifically requires unanimous consent for amendments. However, certain provisions require the consent of a member adversely affected by the amendment.: A) the obligations of any member to make contributions, (B) the allocation for tax purposes of any items of income, gain, loss, deduction, or credit, (C) the manner of computing the distributions of any member or (D) the compromise of an obligation of a member to contribute is contained in the articles of organization. If there are to be amendments without unanimous consent, it is better to have an attorney supervise the amendment process on behave of the LLC to make sure the amendment process is following NY law.

The short answer is: it depends. The (properly drafted) document itself should discuss a dissolution of the agreement. Absent specific terms in the agreement, state contract and/or business law would control how to disolve the agreement and your partnership. We highly recommend you consult with an expereienced business or contracts attorney that can help the parties resolve their differences: beit working to reestablish or amicably disolve the relationship. Good luck.