Some aspects of a business are more valuable than others. There are some aspects that you simply can’t live without. For example, whilst an owner of a café can easily replace a coffee machine if it fails, it may not be as easy to replace the taste of their particular coffee blend, which their particular clients are fond of, if they have a fall out with their supplier. Similarly, to replace the barista whom the customers share a quick laugh with every morning when they grab their daily dose might also be problematic. As a result, buyers need to ensure that the key aspects of the business are sound when they are buying a business. They need to make sure they are getting value for money. Continue reading
If you have a great idea for an iPhone application, the development of the application understandably takes priority. But be mindful that an application creates legal obligations, not only between you and the retailer (e.g. Apple), but also between you and the end user. So you need an effective end user licence agreement to address the legal obligations arising out of the application. Continue reading
The introduction last year of laws making company directors personally liable for their company’s outstanding PAYG and superannuation, and the subsequent collapse of Darrel Lea under a fortnight later, is a great reminder of the onerous commitment made when accepting a company directorship. Continue reading
When business people enter into open ended partnerships, which is most common, then generally any partner can dissolve the partnership by giving notice to the other partners. When this occurs, some of partners may continue the business, but only with agreement of the existing partner. This may not occur. Particularly when there is a bitter fight. If it does occur, it will usually require paying the exiting partner the value of their share in the partnership and some arrangement for the payment of liabilities.
In this 4BC Small Business Show segment with Kevin Turner, Joe Kafrouni explains the impact on company directors resulting from significant changes to the director penalty regime passed on 29 June 2012. Essentially, company directors are personally liabile for PAYG and employee superannuation that is outstanding for more then 3 months.
The new Director Penalty Regime, introduced in June 2012, ends all doubt about whether a director can have a passive involvement in a company. It is a warning to company directors that being a director is serious business and that unless they monitor their company’s activity, they are risking their house. Continue reading
The use of legal contracts can often be perceived as sign of mistrust. This is particularly when a person is entering into a business relationship with a friend, colleague or anyone that is previously known to them.
It does not have to be that way though!
The following article by Joe Kafrouni was published by Australian Anthill Magazine on 14 June 2012: http://anthillonline.com/what%E2%80%99s-in-a-business-name-more-than-the-bard-bargained-for/ It addresses, in simple terms, what is a business owner’s right when registering a business name and the difference between a registered business name and a registered trade mark.
What are the important terms of a partnerhip or shareholders agreement? Continue reading