Greensboro Startup Attorneys & Lawyers

What is a Sole Proprietorship?

A sole proprietorship is a business with a single owner. It is the dream for many people. These businesses, which are not registered as an LLC (limited liability company), a partnership, or a corporation, have the benefit of flexibility. Sole proprietors can work as freelancers — independent contractors — or they can run physical, on-the-ground businesses. 

Often, home-based businesses are sole proprietorships. There are 23 million of these in operation today, vastly more than any other traditional forms. This sort of business carries dangers with it, and it's important to understand them so you can avoid pitfalls in bookkeeping, taxes, and other potential liabilities.

Sole Proprietorship vs. Incorporated Business

There's one major difference between a sole proprietorship and a reg

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What is Secured Debt?

Secured debt is a debt that's secured by pledging an asset for collateral. It means someone took on a debt and backed it with a piece of property they own. The lender puts a lien on the asset that's been pledged, giving them the ability to legally take the asset if the debt is defaulted on.

Common examples of a secured debt include a mortgage and a car loan. The car or the house become the security asset for the debt that you took on. If you default on the payments for any reason, the lender has the right to take you to court in order to recover the asset.

A lender usually requires the asset be maintained and/or insured to a set standard in order to maintain asset value. For example: a lender who issues an auto loan requires the borrower to obtain a specific type and level of insurance coverage. In the event

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Many employers now offer stock options in place of other popular benefits as a part of their employee incentive packages. Stock options can be confusing to new employees receiving them, and even some employers offering them. For example, some people do not realize that a employee stock option has no real value until it is exercised.

In this article, we take a look at stock options: what they are, how they are exercised, their tax implications, and more. We’ll also offer some suggestions on where to turn for financial advice regarding your stock option questions.

Keep in mind that exercising stock options can be complicated, and result in significant financial and tax consequences. It is highly recommended, therefore, that you consult with an attorney, accountant, or other experienced tax professional before exercising any stock option.

What Is a Stock Option?

Simply put, a

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What is an Exclusivity Clause?

An exclusivity clause is part of a bigger legal document that restricts the signer from buying, selling, or promoting any goods or services from any person or company other than the issuing company associated with the contract. In other words, the company or individual works exclusively with the issuer of the contract. Many company owners who are excited and eager to get started in business may overlook the clause. But violating an exclusivity clause can come with stiff penalties and fines. It is also very difficult to break this clause of a contract without being held responsible for the penalties listed.

A violation of an exclusivity clause may result in a cancellation of the contract, leaving the signer responsible for any goods or services purchased. But this scenario is likely the best case, since the contract issuer can take more extreme legal action. In some cases, violators of exclusivity agreements have been restricted fr

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