Fairness in Dividing the Founders: Understanding Startup Ownership One of the questions I wish clients would ask more is whether their division of ownership is a fair one. Most owners, in their fairness calculation, apply the following formula: 100% ÷ number of founders This advanced calculus may appear fair and equitable, but the reality is […]
Continue ReadingBusiness Law
CARES Act Payroll Tax Credit: The less-talked-about relief for shuttered businesses
We’ve heard a lot of talk, speculation and venting about the two big programs in the CARES Act, the Paycheck Protection Program (“PPP”) and the Economic Injury Disaster Loan (“EIDL”). We’ve written about those programs elsewhere. But there’s one big benefit hidden in here that only applies to businesses that have been closed by government […]
Continue ReadingPaycheck Protection Program Information
This is a living document that I will update from time to time as I receive more information from the government, lenders, and the experiences of borrowers. In a nutshell, here are the broad strokes of the program: Rates, Terms, Fees 0.5% for 2 years1 The SBA guarantee fee is waived.2 No collateral3 No personal […]
Continue Reading
