Business Law Archives | Hollister Law Office

November 27, 2019 In Business Law

The Perfect Entity Choice for Your Dream Business

I associate the “dream business” with the need to scratch an entrepreneurial itch – it seems like a great idea, but you have no idea how successful it will be. For the reasons set forth below, the best choice of entity for your dream business is probably an LLC. One of the first steps in starting any business is determining which type of entity to form and organize and operate your business out of: a corporation, an S Corporation, a limited liability company (LLC), a limited partnership, a...

March 9, 2019 In Business Law

Contractors Must Avoid Litigation

When a business relationship is governed by a written contract, it can provide clarity to the parties when an unforeseen event arises. Simple misunderstandings are at the root of most disputes, especially when it comes to the relationship between Contractor and Owner. A simple misunderstanding can cause a relationship that started out with a solid handshake, good eye contact, and promises of fair dealing to turn into the Hatfields & McCoys. Contractors fall behind schedule, use the wrong materials, diverge from plans and specifications, run...

February 5, 2019 In Business Law

20% QBI Deduction: Some Landlords Must Revise Lease Under New Tax Law

The 20 percent qualified business income (QBI) deduction is a huge boon to qualifying taxpayers. Essentially, a qualified business with $100,000 in profit can use the QBI deduction to reduce taxable income to $80,000. Under the guidelines the IRS introduced less than a month ago, in order for landlords to qualify, they must actively manage rental property. To be considered an “active trade or business” a landlord must log 250 hours per year toward management of the rental property. Time reports should include a description of...