Question:
1. Why would I want to create a Corporation or a
Limited Liability company when starting a new company?
Answer:
To eliminate your personal liability in case
the business is sued or is unable to pay all of its bills.
Question:
2. If I am buying or selling a small business, why
shouldn't I just use a Simple Bill of Sale?
Answer:
A more complete sales agreement will avoid questions, disputes and possibly
lawsuits down the road. Issues arise regarding whether the buyer or seller is to
pay particular bills, whether there are any offsets to the purchase price or
whether there are any ongoing responsibilities of the seller. Although it may
seem expensive to hire an attorney, the costs are much greater to litigate a
dispute than to avoid the dispute by preparing appropriate documentation.
Question:
3. Do I really have to pay overtime to employees or can I pay them a salary
instead?
Answer:
In most cases the payment of overtime is required
by federal law. The Fair Labor Standard's Act requires that most employees be
paid overtime for any hours beyond a 40 hour work week unless an exception
applies.
