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bwright@ruddco.com


Monthly Business Newsletter
What's the Right Entity Choice for Start-Ups Today?

Choosing a business structure significantly affects how a start-up's income is taxed and the level of personal liability owners may face. The One Big Beautiful Bill Act changed several federal income tax provisions that may influence this critical decision. We compare the two broad paths available: C corporations and pass-through entities.

Working Capital: A Potential Valuation Sleeper

Valuing a business involves analyses of such elements as the cost of capital, pricing multiples and valuation discounts. But sometimes it's the simplest elements that people overlook, such as whether the business has too much (or too little) working capital compared to others in the same industry. After a valuation professional reaches his or her preliminary estimate, it's imperative to address working capital levels.

Firing an Employee? Consider a Separation Agreement

When you hire someone, your hope is that you and the employee will stay on the same track for a long time. However, at some point, the two tracks might diverge and you could have to fire that individual. In such cases, you might want to ask the employee to sign a separation agreement. This article describes these agreements and explores some commonly included provisions.

Does Your Buy-Sell Agreement Need Updating?

As a business owner, you're no doubt regularly urged to think carefully before signing on the dotted line.This is indeed good advice but, if you co-own a company, you shouldn't hesitate to sign off on a buy-sell agreement — assuming its mutually agreeable to you and your fellow owners. This article describes how buy-sell agreements work and why they're so important.

Our firm provides the information in this e-newsletter for general guidance only, and does not constitute the provision of legal advice, tax advice, accounting services, investment advice, or professional consulting of any kind. The information provided herein should not be used as a substitute for consultation with professional tax, accounting, legal, or other competent advisers. Before making any decision or taking any action, you should consult a professional adviser who has been provided with all pertinent facts relevant to your particular situation. Tax articles in this e-newsletter are not intended to be used, and cannot be used by any taxpayer, for the purpose of avoiding accuracy-related penalties that may be imposed on the taxpayer. The information is provided "as is," with no assurance or guarantee of completeness, accuracy, or timeliness of the information, and without warranty of any kind, express or implied, including but not limited to warranties of performance, merchantability, and fitness for a particular purpose.

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