Posted by Brett Melson
Can I Convert a Corporation to an LLC? Tuesday, January 5, 2021

A Delaware LLC structure is more flexible than a corporation, as an LLC Operating Agreement may contain provisions and terms that would not be permissible in the context of a Delaware corporation.... Continue Reading

Posted In: Business Strategies

How a Dual Class Share Structure Affects Shareholder Voting Rights Monday, January 4, 2021

In a dual class share structure, public investors in an IPO receive common stock with little to no voting rights, while founders receive either the only voting stock in the corporation or stock with voting power often ten-times that of public investors.... Continue Reading

Posted In: About Corporations

Filing S-Corp Status on a New Delaware Corporation Tuesday, October 20, 2020

The Subchapter S tax status, also known as an S corporation or S-Corp, is a very popular tax status for newly formed corporations. Subchapter S tax status allows for a unique taxation method whereby the profits and losses flow through the company to the shareholders.... Continue Reading

Posted In: Business Strategies

EIN Confirmation Letter Tuesday, October 6, 2020

If we obtained the EIN number on behalf of your company, feel free to request that the 147C letter be faxed to us at (302) 645-1280. Once the fax has been received, we will email the letter to you as a courtesy.... Continue Reading

Posted In: Business Strategies

Best States for Business, Ranked by Lawyers Tuesday, September 29, 2020

The 2019 Lawsuit Climate Survey “Ranking the States: A Survey of the Fairness and Reasonableness of State Liability Systems” from the Institute for Legal Reform ranks Delaware number one again!... Continue Reading

Posted In: The Delaware Advantage

6 Benefits of Registering Your Trademark Tuesday, September 8, 2020

A trademark is typically the business name or company logo; it is important to have a unique, memorable name or emblem so your customers can easily identify your business amongst your competitors.... Continue Reading

Posted In: Entrepreneurs & Start-Ups

How to Convert Your LLC to a Corporation Tuesday, August 25, 2020

The most common reason to change an LLC to a corporation is that the company needs to be able to issue shares of stock in order to bring on investors or raise venture capital | Convert an LLC to a corporation.... Continue Reading

Posted In: Business Strategies

Delaware’s 2019 Corporate Annual Report Just Released Tuesday, August 4, 2020

The 2019 Annual report from the Delaware Division of Corporations Secretary of State has been released and reiterates why accountants, attorneys and business professionals from all around the world use Delaware as the state to incorporate.... Continue Reading

Posted In: The Delaware Advantage

When Is a “Doing Business As” Name Required? Monday, July 13, 2020

When a company executes contracts or otherwise acts in a legal capacity under a different name, a DBA is appropriate. Alternatively, abbreviating Brett’s Diner LLC as “Brett’s” on flyers and in marketing materials should not typically raise an issue.... Continue Reading

Posted In: Entrepreneurs & Start-Ups

How to Fix Business Mistakes in a Delaware Corporation Tuesday, July 7, 2020

Drafting corporate resolutions, recording meeting minutes and tracking stock available for issuance is sometimes seen as a distraction from the company’s primary focus of pursuing its business plan and achieving its goals.... Continue Reading

Posted In: About Corporations

4 Things to Know about Corporate Bylaws [Free Template] Tuesday, May 12, 2020

Corporate bylaws provide the granular detail into how the corporation will operate and what its governance mechanics will be. They also describe the relationship among its Board of Directors, its officers and its shareholders.... Continue Reading

Posted In: Entrepreneurs & Start-Ups

Adding and Removing Directors on a Board Monday, April 27, 2020

In short, and as discussed here, Delaware’s General Corporation Law provides that shareholders are ultimately responsible for appointment and removal of Directors, with the mechanics and processes relating to the vote, removal, and replacement ordinarily set forth in the corporation’s bylaws.... Continue Reading

Posted In: About Corporations

Does the IRS Make Company and Tax ID Information Public? Monday, March 23, 2020

The IRS releases very little information to the public and takes privacy and confidentiality of personal and business tax-related info very seriously. Only a Responsible Party, an officer of a corporation, partner in a partnership, or general partner of a limited partnership can call the IRS and retrieve an EIN.... Continue Reading

Posted In: Entrepreneurs & Start-Ups

EIN vs ITIN: What's the Difference and Who Needs Them? Tuesday, February 11, 2020

There are many numbers that are used to identify ourselves and our corporations or LLCs, such as a Social Security number, driver's license number, passport number, DUNS number and EIN (Employer Identification Number). Many business owners and employees wonder about the differences between the Federal Employer Tax ID number (EIN) and the individual taxpayer identification number (ITIN).... Continue Reading

Posted In: Compliance

Mistakes to Avoid When Adding a Registered Series Monday, February 10, 2020

Clients attempting to file on their own have been met with confusion and frustration as their filings are rejected. Here are two of the reasons why they’ve been having trouble.... Continue Reading

Posted In: About LLCs