The Law (In Plain English)® for Small Business (Sphinx Legal)

According to the U.S. Department of Labor, 99.7% of all businesses are identified as small businesses (having less than 500 employees). This is where The Law in Plain English for Small Business comes in. This complete guide covers 25 distinct topic areas concerning small business owners with countless subtopics discussed. It provides vital legal and business information in simple, everyday language, giving the reader quick answers to their questions. Areas of initial concern to every new business venture such as the steps needed to organize a business and how to develop a business plan are covered, as well as areas of concern to a business in its early stages of development such as hiring procedures, insurance options and tax deductions specific to the small business owners. It does not stop at the new business but also address matters affecting maturing businesses such as product liability issues and how to protect business trademarks and patents. Business owners in any field or endeavor will benefit from this book and its accessible, easy-to-understand style. Title Page 2 Copyright Page 3 Dedication 4 Acknowledgment 6 Contents 8 Preface 16 Chapter 1: Organizing You Business 18 Sole Proprietorships 19 Partnerships and Joint Ventures 20 Limited Partnerships 23 Corporations 25 S Corporations 30 Limited Liability Companies and Limited Liability Partnerships 31 Hybrids 33 Chapter 2: Business Organization Checklist 34 Accountant 34 Business Name 35 Business Structure 35 Chapter 3: Developing Your Business Plan 44 Executive Summary 45 History 45 Products and Services 45 The Market 46 The Competition 46 Source of Work 47 Management 47 Financial Data 48 The Business Plan Team 48 Chapter 4: Borrowing from Banks 50 Loan Proposal 51 Business Outlook 57 Application 62 Lender's Rules and Limitations 63 Details of the Agreement 65 Communication When Problems Arise 66 Venture Capital 68 Chapter 5: Going Public 70 Advantages of Going Public 70 Disadvantages of Going Public 71 Federal and State Securities Laws 72 Initial Public Offering 73 Privatization 75 Chapter 6: Contracts 76 Contract Basics 76 Types of Contracts 77 Understanding Contract Principles 78 Proving an Agreement 79 Essentials to Put in Writing 81 No-Cost Written Agreements 82 Contracting Online 86 Consumer Protection Laws 87 Chapter 7: Consignment 90 Advantages 90 Disadvantages 91 Special Laws for Artists 94 Chapter 8: Collections 98 Point-of-Sale Payments 99 Consignment 101 Invoicing 102 Ways of Encouraging Payment 102 When Payment Never Comes 103 Bankruptcies 105 Chapter 9: Expanding Your Market 110 Franchising 110 Multilevel Marketing 114 Chapter 10: Patents and Trade Secrets 120 Patents 120 Trade Secrets 121 Chapter 11: Trademarks 126 Definition 127 Prohibited Trademarks 128 Protecting a Trademark 129 Confusingly Similar 130 Federal Registration 131 Applications Based on Actual Use 132 Applications Based on Intent-to-Use 133 Constructive Use 134 Benefits of Registration 135 Duration 136 Supplemental Register 136 Loss of Protection 137 Infringement 137 Antidilution 138 International Protection 139 State Registration 139 Using an Attorney 140 Chapter 12: Copyrights 142 Copyright Law Foundation 142 Copyrightable Material 143 Scope of Protection 144 Ownership 146 Works Made for Hire 147 Derivative Works 148 Collective Works 149 Copyright Protection for Utilitarian Objects 149 Notice Requirement 150 Application Process 151 Period of Protection 153 Infringement 154 Chapter 13: Advertising 158 Government Regulation 158 Comparative Advertising 159 Publicity and Privacy 160 Unauthorized Use of Trademark 161 Trade Dress 162 Chapter 14: Licensing 164 General Consideration 165 Licensing Hazards 166 Method of Payment 167 Acknowledgement of Ownership 169 Quality Control 169 Signature 169 Chapter 15: The Internet 170 Protecting Business Property 171 Protecting Consumer Information 172 Domain Names 172 Internet Advertising 176 Audits 177 Copyright Concerns 178 Server Protection 180 Email 180 Spam 181 Viruses, Worms, and Traps 181 Security for Online Commerce 183 Chapter 16: Warranties 184 Express Warranties 184 Implied Warranties 187 Disclaimers 189 Magnuson-Moss Warranty Act 191 Using an Attorney 192 Chapter 17: Product Liability 194 Defective Products 194 Types of Defects 195 Federal Laws 197 Product Liability 198 Liability Insurance 199 Chapter 18: Business Insurance 200 Basics of Insurance Law 200 Property Covered 206 When and How to Insure 207 Chapter 19: People Who Work for You 210 Independent Contractors 210 Employees 212 Employment Contracts 212 Other Considerations in Hiring 215 Hazards in the Workplace 216 Termination of Employment 218 Chapter 20: Keeping Taxes Low 220 Income Spreading 221 Spreading Income among Family Members 222 Family Corporations and Limited Liability Companies 224 Qualifying for Business Deductions 227 Deduction for the Use of a Home in Business 230 Other Professional Expenses 233 Travel Expenses 235 Entertainment Expenses 236 Conventions 236 Logbooks 237 Charitable Deductions 238 Grants, Prizes, and Awards 239 Health Insurance 240 Chapter 21: Zoning 242 Local Zoning Restrictions 242 Federal Regulations 243 Telecommuting and Web-Based Businesses 245 Chapter 22: Renting Commercial Space 248 Premises 248 Cost 249 Term 249 Restrictions 250 Remodeling 250 Utilities 251 Security and Zoning 252 Written Document 253 Chapter 23: Pension Plans 254 Defined Benefit Plans 255 Defined Contribution Plans 256 Designing and Documenting a Plan 259 Employer-Sponsored Plans 259 Investments in a Qualified Plan 261 Chapter 24: Estate Planning 264 The Will 265 Payment of Testator's Debts 266 Disposition of Property not Willed 267 Advantages to Having a Will 268 Estate Taxes 269 Distributing Property Outside the Will 273 Probate 276 Chapter 25: Finding a Lawyer and an Accountant 278 Finding a Lawyer 279 Finding an Accountant 281 Glossary 282 Index 312 About the Author 320 Back Cover 322 Writing in plain language and an accessible style, Duboff, an attorney practicing in Portland, Oregon, explains the laws affecting small businesses. Material is organized according to the sequence of steps for creating and running a small business, from developing a business plan and borrowing from banks to pension plans and estate planning. Coverage includes licenses, advertising, trademarks, taxes, product liability, and insurance, as well as franchising, multilevel marketing, and e-business considerations. Annotation ©2004 Book News, Inc., Portland, OR Organizing your business Business organization checklist Developing your business plan Borrowing from banks Going public Contracts Consignment Collections Expanding your market Patents and trade secrets Trademarks Copyrights Advertising Licensing The internet Warranties Product liability Business insurance People who work for you Keeping taxes low Zoning Renting commercial space Pension plans Estate planning Finding a lawyer and an accountant.