Next to your family, your business is the most important thing in the world to you. It is your livelihood, and you and your family depend on it. Every business, large or small, needs competent legal representation throughout its life. Willis & Henderson, P.A., has many years of experience representing small and mid-sized companies in virtually every matter affecting a business, including formation, operating agreements for limited liability companies (LLC's), shareholder's agreements for corporations, collections, preparation of contracts, and employment agreements, and the litigation and law suits that inevitably results from operating a business, and being in or doing business with other people. Business Formation To shield you from personal liability, you should operate your business through a business entity, such as a corporation or limited liability company. The attorneys at Willis & Henderson, P.A., have substantial experience forming these and other business entities. They are also experienced at preparing the associated agreements that go with them, such as operating agreements, in the case of LLC’s, and shareholders (or buy-sell agreements), in the case of corporations. Most circumstances will require either a limited liability company (LLC) or an "S" corporation. For the most part there is very little difference between the two, and the way they are treated for taxes is about the same. The most obvious difference between the two is that and S corporation cannot get a substantial portion of its revenue from passive income. For example, rental income. So most people use an LLC if they intend to rent out real estate. Otherwise, an S corporation is generally adequate. When we form your corporation or LLC, we make sure all the requirements are met, the proper documents filed, that you get a federal tax ID number if you need it, that the corporation does what it needs to do to be considered a "subchapter S" corporation, and that all the documents and stock certificates are in place. If your circumstances call for a limited liability company (LLC) we also prepare the operating agreement. Collection As a business owner, you will find that sometimes the person for whom you have done work is slow to pay, or simply refuses to pay. The more time that passes, the smaller the chance of collecting your fee. You need to take concrete action soon after you realize that there is an issue with the account. The lawyers at Willis & Henderson, P.A., have experience collecting unpaid bills for businesses, and will take the matter to court if necessary. And once we obtain a judgment, we will aggressively pursue collection of it by garnishment and through seizing assets. In some circumstances, you may be able to obtain a mechanic's lien, which is discussed below. Litigation Whether you are being sued, or need to sue someone else. Our attorneys can help. There are times when your business needs competent legal representation to defend a law suit. If you or your business is sued, you need to seek representation immediately. There are tight deadlines for responding, particularly in the District Courts. If you miss a deadline, you may find yourself with a default judgment. You also need to know your rights and your obligations, and have an understanding of what the likely outcome of the law suit is. If you need to bring a law suit, there is usually a statute of limitations associated with the action. If you do not bring the suit quick enough, you may never be able to. Our lawyers will evaluate your case, help you analyze the cost of bringing the suit compared to what you are likely to recover and, if it makes sense, prosecute the case for you. We are happy to pursue such cases in Howard County, Baltimore County, Baltimore City, Anne Arundel County, Carroll County, Montgomery County, and Prince George's County. Mechanic's Liens Mechanic's liens are powerful tools for collecting your fee when you have acted as a contractor or a subcontractor for work on a building. With a mechanic's lien on a piece of property, you can sell the property through what is essentially a foreclosure. The most typical example of a person obtaining a mechanic's lien is a tradesman doing work on a house or building that is being built or remodeled. The real power or the mechanic’s lien is that it allows a subcontractor to put a lien on the property of the owner of the property almost immediately. As a subcontractor, you do not have a contract with the owner of the property on which you have done work, meaning that you cannot sue the owner if you are not being paid. Your only action is against the contractor who hired you, and you would only be able to get a judgment against him, and therefore a lien on his property. The mechanic’s lien solves this problem by allowing the sub to directly and quickly attach the property on which he has done work, no matter who owns it. This is a very effective way to get the contractor, who has been promising you payment, but not delivering, or who is no longer returning your calls, to do something. There are, however, stringent time requirements and notice requirements for obtaining a mechanic's lien. You should act as soon as it becomes apparent that you are not going to get paid. Often the just the threat of a mechanic's lien will get you paid, particularly when the contractor does not own the property. |
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