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- 3 min read
How to Start a Nonprofit Organization
Learn how to start a nonprofit organization by first understanding what it is exactly. Nonprofit organizations invest profits back into the organization rather than distributing profits to the business owner. There are four main types of nonprofit organizations:
- Trade associations. These are organized to serve the interests of a specific trade or profession.
- Charitable organizations. Charitable organizations serve a public purpose. These include organizations dedicated to remedying a social problem or promoting some social good. Museums, libraries, educational institutions, environmental groups, and outreach groups are examples of charitable organizations. Charitable organizations can also include religious groups.
- Social clubs. Fraternal organizations and country clubs can often classify as nonprofit organizations.
- 3 min read
What is SOX?
SOX informally refers to the Sarbanes-Oxley Act of 2002, a piece of legislation created for the purpose of protecting investors from accounting fraud, specifically those that are related to shares sold by publicly traded companies.
The Sarbanes-Oxley Act is a deliberate attempt to mandate strict reforms with regards to how corporations made financial declarations. The law mandates increased vigilance with regards to disclosures related to the financial state of the company, particularly when it comes to earnings and profitability.
It is important to remember that this law regulates publicly traded corporations, those that sell shares of stock to the common people and institutional investors. The investors and potential shareholders will only agree to the listed price of the company's shares based on the company's value such as future earnings and current performance. Thus,
- 9 min read
A Guide to Forming a Multi-Member LLC in California.
A California Limited Liability Company (LLC) is a business entity formed under the laws of the state of California. It similar to a partnership, providing management flexibility and the benefit of pass-through taxation.
A multi-member LLC is owned by multiple people or "members." A standard practice is to have the members choose a single person or a group of people, called "Managers," to run the organization. Forming a California LLC takes places in two stages.
- 2 min read
Filing for bankruptcy can be a confusing process and many who are contemplating bankruptcy do not know about the differences regarding which type of bankruptcy they should be filing for.
What is Chapter 7?
Chapter 7 is the most common type of bankruptcy chapter filed in the U.S. Chapter 7 is also known as “liquidation bankruptcy”, that has to do with the selling of a debtor’s non-exempt assets by a trustee which will hopefully erase all debts that can be expunged. This is different from Chapter 13 bankruptcy, which just reorganizes
- 7 min read
What Is a Delaware LLC?
A Delaware LLC, or limited liability company, is a type of business entity created by filing the Certificate of Formation with the Delaware Secretary of State. It creates a legal existence separate from its owners. Owners and managers are not personally liable for any of the company's debts.
A contract drafted by the company's members called the Operating Agreement outlines the structure of a Delaware LLC and the rules that govern the members, or owners, of the LLC. The Operating Agreement is legally binding and enforceable by every person that signs it. The members are free to organize the company however they see fit. The can create their own terms for governing, operating, and overseeing their LLC.
The first Delaware LLC was formed on October 1, 1993, when the Delaware Limited Liability Company Act first made the LLC a legitimate business entity. Right now about two-thirds of all of the