Reputable Law Firm Guides Clients Through Business Transactions in California
Trustworthy Palm Springs attorneys help your business achieve its goals
Business transactions are contractual in nature; consequently, they are document intensive. The most common business transactions involve business entity formation, purchases and sales. These transactions have significant legal ramifications, which is why it’s important to retain an experienced California business attorney to represent you throughout the process. At Schlecht, Shevlin & Shoenberger in Palm Springs, we guide small business owners in the Coachella Valley and Riverside County area through each step of a transaction to help them accomplish their objectives.
Personalized advice on business entity formation
When starting a business, it’s important to choose the type of entity that best matches your goals. Under California law, there are a variety of entities to choose from, each with advantages and disadvantages. Our lawyers can help you select among these:
- Corporation — A corporation provides the highest level of protection from personal liability for the owners. With a corporation, you can sell shares to raise capital for your operations, and you pay corporate taxes separately from your personal income tax.
- Limited liability company — The LLC is the most popular business entity in the country. LLCs provide owners with protection from personal liability, but the owners can still report income on their personal income tax return.
- General partnership — A GP consists of at least two partners or owners who are jointly liable for the partnership’s obligations. Profits of the partnership are taxed as personal income.
- Limited partnership — In an LP, one general partner controls the business and accepts unlimited liability, while any number of limited partners can be liable only up to the level of their participation. Profits are taxed as personal income.
- Limited liability partnership — An LLP is available for practitioners of certain professions, who are obligated to retain certain levels of liability insurance. Profits are taxed as personal income.
- Sole proprietorship — This entity provides no protection from personal liability for the business’s obligations. On the plus side, a sole proprietorship gives the owner total control over operations, and tax reporting is done through the owner’s personal income tax return.
Our attorneys will help you form the entity in accordance with California law and prepare the organizational documents, including articles of incorporation, bylaws and operating agreements. These documents also address the important issues of succession, buyouts, key personnel provisions and other critical matters.
Knowledgeable advice for buying or selling a business
If you are planning to buy or sell a business, our firm guides you every step of the way. The key steps in the buy-sell transaction are:
- The letter of intent (LOI) —This document sets out the basic terms of the transaction, but it is usually structure to be nonbinding. Nevertheless, the LOI is the foundation for the purchase and sale agreement and should be drafted by a business transactions attorney.
- The purchase and sale agreement — Our attorneys draft and review contracts to buy or sell a business to protect your financial interests.
- Due diligence — The buyer must have an opportunity to investigate the seller’s business. The due diligence clause in the contract allows the buyer to investigate the accounting records and other key documents concerning the financial and legal health of the business.
- Closing — The transaction is complete when the buyer and seller exchange funds for the business at closing.
To protect your deal, our business attorneys keep the transaction on track from the initial preparation through closing, so you can have confidence every step of the way.
Business closings: protecting your interests when it’s time to wind down
Although business entities can last beyond the life of the owner, there are circumstances where an owner is better off closing. If you find yourself in that situation, we can ably assist with all necessary steps, including:
- Collection of outstanding amounts owed
- Notification of creditors
- Notification of customers and clients with whom you have contractual obligations
- Termination of your commercial lease
- Liquidation of your business assets
- Settlement of debts
- Settlement of taxes and filing of returns
- Distribution of any remaining assets to yourself and any other owners
- Dissolution of your business entity
If you are considering closing your company, our firm is prepared to deliver the cost-effective services you need to wrap up in a timely, efficient manner.
Other business transactions
There are hundreds of types of business transactions, which our firm has managed since 1951. Whatever deal you envision, our business law attorneys can provide the trustworthy counsel you require to achieve your goals.
Contact an experienced Palm Springs law firm for your business transactions
For trustworthy guidance on a wide range of business transactions, consult Schlecht, Shevlin & Shoenberger in Palm Springs, California. We assist small business owners throughout the Coachella Valley and Riverside County area. Please call 760-320-7161 or contact us online to schedule a confidential consultation.