Cleburne Legal Blog

Has a corporation board breached its fiduciary duty to you?

On behalf of Cain & Associates on Tuesday, December 31, 2019.

Purchasing shares in a company is often a leap of faith, but it is not something you might do blindly. Certainly, you must believe in the company and its product or service. Additionally, you may expect the company to succeed and thus provide you with a sound and profitable investment. You also trust that those who make the decisions for the operations of the company will have your interests in mind and be your voice.

As a shareholder in a corporation, you do not control the way the business runs. Ultimately, the board of directors and the officers of the corporation handle those matters. However, it is their duty to make wise decisions about the direction of the company and the use of its funds since those decisions directly affect your well-being as a shareholder. This responsibility is known as fiduciary duty, and it is a legal obligation.

Your business may need more contracts than you realize

On behalf of Cain & Associates on Wednesday, December 4, 2019.

When you decided to start your own business, you likely knew that there would be a lot of work involved. Even after you got your business operations up and running, you still had to take steps to keep everything in line. You may have created new business relationships, taken on employees, conducted various sales and carried out other related actions.

Because each aspect of your business is important and you want to protect your company, you understand the value of having contracts in place whenever a new relationship or arrangement comes into play. In fact, you may need contracts for certain areas that you may not have considered before.

Does damage to your company have you considering litigation?

On behalf of Cain & Associates on Friday, November 1, 2019.

Running a small business takes a lot of work from the moment you decide to start the business. You have undoubtedly gone through mountains of paperwork, made numerous decisions, had to deal with setbacks and felt the stress of starting a business. However, you reached your goal, and your company has been operational for a short time.

Because your company is relatively young, you may not have had any legal issues to face as of yet. You may have anticipated an issue coming sooner or later because so many businesses do face legal claims or face problems that need litigating. You may have reached a point where you feel that going to court over a business matter is necessary, but you may still feel hesitant.

A partnership agreement can reduce conflicts

On behalf of Cain & Associates on Thursday, October 3, 2019.

Bringing partners into your business or collaborating with someone to start a company is not as easy as shaking hands over a cup of coffee. A partnership includes many legal complexities, and it is important that you and your partners understand what each expects of the others. This is why business advocates highly recommend having a solid partnership agreement that addresses these matters.

A partnership agreement should be as thorough as you can make it, including any contingencies you can think of from the start to the end of the business. Your business and your partnership have their own unique factors, so you will want your partnership agreement to reflect those elements with clarity and precision. Because of this, using an online template for your agreement may not provide the solid security you want for your business.

Is your small business ready for transition?

On behalf of Cain & Associates on Wednesday, September 4, 2019.

Whether your Texas business is just starting out or you have worked for decades to build a strong reputation in your industry, you likely have great plans for the future. Perhaps you have ideas for expansion, or you may simply want to establish a successful company that will support your family and provide something you can pass on to your children.

If creating a legacy from your business is in your plans, you should know that this does not happen automatically. In fact, it might behoove you to understand exactly what may happen to your small business if you should become incapacitated or pass away before you have a transition plan in place.

Could your company benefit from a liability release form?

On behalf of Cain & Associates on Friday, August 2, 2019.

Owning and operating a business comes with many risks for being liable for certain outcomes. For instance, if a person participates in an activity on a company's premises and suffers injuries, the company could be liable for those injuries. Unfortunately, facing liability for such incidents could be detrimental to your company in various ways.

As a business owner, you undoubtedly know the importance of protecting your company as best as possible. If you know that certain elements of your business operations could put clients or customers at a certain amount of risk for harm in the event that something goes wrong, you may want to consider having a liability release form.

Having a client list is important to growing a business

On behalf of Cain & Associates on Wednesday, July 3, 2019.

Whether you have just started your business or have been in operation for years, you undoubtedly want to ensure that you provide a quality product or service. You understand that having happy clients and customers can ensure that your company sees further success in the future.

Building a customer or client base is an important aspect of running a business. Keeping up with these individuals through email or other forms of contact could provide you with useful information that you could use for a variety of purposes, including expanding your operations, ensuring customer satisfaction and providing new information to those who have already utilized your company.

Does your contract have all the right stuff?

On behalf of Cain & Associates on Wednesday, June 5, 2019.

You may think of your small business as something very personal to you. Your employees and customers are like family, and you enjoy the comfortable, informal relationships you have with them. However, business is business, and at the heart of many successful business deals is a solid contract.

While you may not be ready to ask your employees to sign a non-compete clause, you are losing some critical protections if you are not using contracts with your clients. A contract may not prevent a lawsuit, but a well-written agreement can provide you with solid ground on which to stand if a dispute should arise with one of your clients.

Laying the foundation for your company's future success

On behalf of Cain & Associates on Wednesday, May 8, 2019.

Every business is different, and what you will need to do to ensure your Texas company's success depends on what you hope to accomplish, the type of business you plan to start and multiple other factors. The choices you make during the business formation process will impact your company for years to come. It's smart to know how you can make decisions that will lay the foundation for your future success.

There is a lot to think about and consider during the business formation stage, but you do not have to walk through it alone. There is significant benefit in having experienced guidance from the earliest stages of your business, lowering the chance of costly missteps or regrettable decisions. There is a lot at stake during this stage, but you can take steps now that will greatly benefit you in the future.

Is a merger or acquisition best for your company?

On behalf of Cain & Associates on Wednesday, April 3, 2019.

Like most business owners, you are probably always on the lookout for ways to improve or expand your company. No matter how long you have been in business, you understand that the world can move quickly around you, and standing still can mean becoming obsolete. This is what motivates you to keep current with the trends of your industry and stay alert for new opportunities.

If you have learned that the fate of another Texas business is on the line, you may wonder if this is the right opportunity for you. The other business may be struggling to remain solvent, seeking to sell or looking for a company to partner with, among other circumstances. It is possible that this could be just the chance for you to grow your business, but you must first gain as much information as possible about your options.