Local law group advises why taking proper precautions can serve as investment and aid in success
LAS VEGAS – Although the economy is far from back to a fruitful state, out-of-work and underemployed individuals are turning to entrepreneurship as a means to a more successful, and stable, financial end. And while many new and existing business owners are delving into the development and delivery of their day-to-day business operations, there is a large sector of business operations many seem to overlook, which could greatly impact their professional and personal lives.
“Because there are a large number of existing owner-dependent type businesses in Southern Nevada – and a growing number of start-ups – it’s absolutely critical these entrepreneurs properly maintain their business as well as put in place a solid estate plan,” said Brooke Borg, founder of Las Vegas-based Borg Law Group. “Taking these proper legal actions are not only a precautionary step for business owners, but also a smart business investment.”
Borg added in her nearly 10 years of practicing law, she has seen a significant number of small business owners make the difficult decision to close-up shop or go bankrupt simply because the owner did not properly maintain their business or set-up an estate plan for themselves or a succession plan for their businesses, which as a result, negatively – and financially – can impact the families of business owners as well.
“An estate plan, coupled with regular legal maintenance, is the first step toward creating a workable transition plan,” said Borg, who noted it’s often professionals who operate medical practices, architecture firms, restaurants and other business who are in vital need of the plans. “Having these plans and legal support system are not only of benefit to keep in good standing with the state while in business, but are a tool to help make their business more marketable when the time comes that the owner wishes to retire, terminate a business, sell to new owners, or passes away.”
When it comes to day-to-day legal maintenance of a business, Borg recommends owners also take the necessary actions to protect themselves professionally.
“Skipping the appropriate steps in setting up and maintaining your business could be detrimental to the company as well as the personal assets of the company’s owners,” Borg said. “There’s a right way and a wrong way to legally keep your business up-to-date, and it important to take the time to understand all operational aspects of your business, even when it comes to legal needs in order to avoid legal headaches later.”
Borg advices business owners look into the following legal matters as they continue to move ahead in today’s new economy:
-Form a corporate entity – Borg finds many “mom and pop” businesses have not yet set-up their business properly, which could be a personal financial liability to business owners.
-Maintain current books and records – Borg added a number of companies fail to keep their records up-to-date.
-Conduct annual meetings and prepare annual minutes – Borg suggests easy-to-use methods all business owners can use as they need to file these records with the State of Nevada annually.
-Keep business accounts separate from personal accounts – A personal and professional liability precaution, Borg added many business owners continue to overlook.
Borg Law Group provides legal services to individuals and businesses in the areas of real estate, corporate law, estate planning and probate. The firm’s founder, Brooke Borg, is admitted to the State Bar of Nevada and the State Bar of Michigan.
For more information regarding Borg Law Group call 702-318-8808 or visit www.BorgLawGroup.com.