In a blow to the business community, the Federal Trade Commission (FTC) has announced that it has proposed a rule that would outlaw the use of employee non-compete agreements to protect businesses from the unfair use of its confidential business information.
Things to watch that are sure to affect every small to mid-size business as we enter 2023.
The IRS recently announced new rules that will go into effect in 2023 with respect to payment processors such as Venmo, PayPal, Cash App, Square, and other payment apps. While there is no change to the taxability of income realized through payment processors, there are now more stringent reporting requirements.
My friend, Rob Schulz, recently asked me to join him on his firm’s podcast to discuss things business owners can do to prepare for unexpected events affecting their companies.
Growth through acquisition of another company is a legitimate strategy that has been with us for a long time. When a privately held acquisition target is found, one of the primary decisions is whether to buy the stock in the company or buy its assets. Outlined below are some of the things that should be considered in making that decision. In either case, it is important to weigh the pros and cons with respect to price, risk, deal complexities, tax implications, licensing, legal consequences, and other considerations.
Buying a business is a challenge even in the best of circumstances and carries risk. Potential buyers should make sure that ample time is allowed for due diligence in the purchase agreement, and that the time is efficiently used to fully investigate the business. There will often be red flags that require extra attention. As with all major purchases, emotion should play no part in the decision-making process.