What are the Disadvantages of General Partnerships in California? Despite the simplicity and perceived benefits, there are several drawbacks to forming a General Partnership in California. These disadvantages primarily revolve around unlimited liability, decision-making conflicts, and partnership instability. So what are the disadvantages of General Partnerships in California? This [...]
Who Owns a California Corporation? A California Corporation is a popular business structure among entrepreneurs and small business owners in California due to its tax benefits and liability protections. But exactly who owns a California Corporation? This article seeks to shed light on this question by exploring the roles [...]
Who Owns a California S-Corp? A California S-Corp is a popular business structure among entrepreneurs and small business owners in California due to its unique tax benefits and liability protections. But exactly who owns a California S-Corp? This article seeks to shed light on this question by exploring the [...]
What is Beneficial Ownership Information Reporting? Unless otherwise exempted, most companies in the United States, including California Corporations, California S-Corps, California Professional Corporations, California LLCs, California LLPs, California Limited Partnerships, and even some California General Partnerships and California Joint Ventures will be required to commence reporting about their Beneficial [...]
What are the Disadvantages of Being a Joint Venture in California Operating as a Joint Venture in California can seem appealing due to its simplicity, low cost to get started, and minimal regulatory requirements. However, the advantages of a California Joint Venture business structure are not without certain drawbacks. [...]
General Partnership vs LLC in California In California, business partners have multiple options when forming a business, with a California General Partnership and a California Limited Liability Company (LLC) being among the most popular. Each of these structures comes with its own set of advantages and disadvantages, and this [...]
Who May Be a General Partner in California? The structure of California Limited Partnerships drives the success and functionality of any business entity using this business structure. This article aims to explore the legal parameters that determine eligibility for the role of General Partner in California, the associated rights [...]
Real Estate Development Company in California Whether you are a new real estate developer or a seasoned property developer with years of experience in the real estate market, it is important to choose the correct business entity for your real estate projects. When embarking on a real estate development [...]
Evaluating California Entity Choices When it comes to launching a new business in California, choosing the right legal entity is a critical decision. Each entity - be it a Sole Proprietorship, General Partnership, Corporation, S-Corp, Limited Liability Company (LLC), or Limited Partnership - carries its own set of advantages [...]
Key Differences Between General Partnerships, Corporations, and Limited Liability Companies When you start your own San Diego small business, you have several types of corporate entities through which to operate. In this article, we discuss the key differences between three commonly used entities: general partnerships, standard corporations, and limited [...]
. Under California law, a partnership is formed when two or more persons or business agree to start a business and to share profits (and losses). This is true whether or not the parties involved draft up a written partnership agreement. Oral partnerships can be valid in California as can partnerships-via-conduct. Partnership is entirely a creature of contract and agreement. Thus, there can arise the problem of agreeing-to-agree and whether that amounts to a partnership.
When corporate partnerships are formed, the main disadvantage of partnership dissipates since the partners are legal entities that are already protecting the personal and family financial assets of the natural persons involved. For these reasons, a limited partnership might be the best business form for your next San Diego venture.
Joint Venture Partners can be Legally Liable for an Obligation of the Joint Venture A recent case from the US District Court in San Francisco held that the partners of a joint venture agreement could be held liable for the debts and obligations of the joint venture and could [...]
California Medical Corporations: Advantages Over Partnerships If you are a licensed medical professional here in San Diego, or if you are another type of licensed professional like an attorney, you can form a corporation specifically designated for professionals under the Moscone-Knox Professional Corporation Act of 1968 (the "Act"). See [...]
Forming Partnerships and Joint Ventures in California Under California law, general partnerships and joint ventures are created by the agreement among two or more persons/entities to run a business and share the profits. California statutes read as follows: "the association of two or more persons to carry on as [...]
California Business Forms and Structures: An Overview If you are just starting your new San Diego business, California law provides you with many choices as to the form and corporate structure of your business. There are advantages and disadvantages for each form/structure, and a good corporate attorney can help [...]
Signs That a Partnership Fight is Looming Forming a partnership is often an excellent way of starting and running a business. There are tax advantages, mutual help and assistance is created, different skills sets can enhance the chances of success, etc. However, as with any relationship, conflict can result [...]
Buy-Sell Agreements Should be Reviewed Annually If you are running a San Diego partnership, limited partnership, closely-held corporation or an LLC, it is important that you have a well-crafted buy-sell agreement. If you do not have one, it is time to have one written. A good San Diego corporate [...]
