What is a Clawback Provision? Clawback provisions are clauses that specify a set of factors or situations in which money already paid to an employee must be returned to the company. Frequently, these clawback provisions are included in employment contracts, and most clawback provisions are non-negotiable. Clawbacks are typically used in response to employee misconduct, scandals, poor performance, or a drop-in company profits.
Introduction As you may already know, directors always owe a fiduciary duty to the corporation for which they are director. This post-will cover the heightened level of fiduciary duty directors owe a corporation’s stockholders or creditors when a company faces insolvency.
Most owners have an idea what they think their business is worth, even if they aren’t planning on selling it. Because small business owners are an extremely diverse group in terms of their thought processes, they arrive at their valuation numbers using a variety of different methods. Seeking professional insight may be helpful, or it may confuse the process even further.
Many small business owners dream of the day they can sell their business and retire to a life of opulent leisure. Well, perhaps not opulent. Comfortable. That dream usually involves a cash sale of their business (perhaps at an unrealistic price), preferably as early as possible. Age 65, for many, is an abstraction. We may be hurtling quickly toward it, but most retirement dreamers don’t want to wait that long.
Business owners typically reach the point where they are looking to retire or have had sufficient amount of running their own business and are looking for new opportunities. Listed below are the seven common mistakes business owners may make when selling their business.
We’ve all bought something that didn’t live up to our expectations. When it’s something small, we may grumble about it for a moment or two, and move on with our lives. When you’re buying a business, your financial life may hang in the balance. Understanding your rights if you don’t get the business you were promised, or better yet, having an effective remedy, is critically important.
An increasingnumberof business owners in the baby boomer generation are planning to transition out of their business. If an individual has their retirement savings connected to a business and there is a delay in selling or an individual is not sure about how to obtain the full amount from a business, retirement could be postponed or sometimes not even possible. A buyers/sellers agreement or business succession plan can prove to be particularly important for baby boomers who are interested in retiring. For individuals who are interested in retiring sometime soon, it is often a wise idea to...
There are various federal contracts owned by particular classifications of individuals including veterans. The unexpected death of a service disabled veteran business owner (SVOSB), however, can leave an individual with numerous questions about how ownership of the contract will transfer. This entry will note some elements about these contracts when the certified owner dies and another individual, which could be a spouse or a child, becomes the new owner of the contract. It is also important to remember that in many of these types of contracts, the assistance of an attorney who specializes in...