651-776-2900

Schedule a free one-half hour consultation

Free Consultation
logo
mobile logo
 

Blog

16 March
0 Comments
Sticky

Common Business Mistakes

Posted by Evon Spangler
in Uncategorized

As professionals, we work hard every day to ensure the success of our businesses.  Unfortunately, if we are not well prepared and protected, our business, our reputation, and even our personal assets can all be lost, due to a single mistake or oversight. As business owners ourselves, we understand the limits all of us face in regard to time and money, but as attorneys, we have seen the consequences, which can financially destroy a business and the owners personally. The most common legal mistakes we see business owners make are in the following ten areas: Failure to Incorporate (Corporation) or Organize...

Continue reading
01 March
0 Comments
Sticky

Charities Must Follow Compliance Laws

Posted by Evon Spangler
in Uncategorized

Helping others through a nonprofit charity is often viewed as noble. But a charity’s good deeds does not provide it carte blanche. In fact, nonprofit charities are highly regulated, and failing to understand those regulations can be disastrous. There are two dozen different types of tax exempt exemptions under the Internal Revenue Code. This article uses the most common exemption – 501(c)(3) – as the example. First and foremost, the nonprofit charity is a business entity. In Minnesota, first the nonprofit files with the Minnesota Secretary of State as a business entity. Second, the nonprofit applies to the IRS for its...

Continue reading
16 February
0 Comments
Sticky

Understanding Your Estate Planning Goals

Posted by Evon Spangler
in Uncategorized

Estate planning is providing for the care of your minor children and/or special needs beneficiaries while giving what you want to whom you want at the least cost possible while avoiding estate taxes and planning for incapacity. In determining the type of estate planning, you must first understand your goals. If your goal is to… avoid probate, then you must have a trust and/or file a transfer on death deed for your real property and complete your beneficiary designations. transfer your homestead without incurring the fees of a trust, then you must do a Transfer on Death Deed (TODD). avoid...

Continue reading
02 February
0 Comments
Sticky

The Mistake of a Business Owner Regarding Ambiguity in a Contract

Posted by Evon Spangler
in Uncategorized

Ambiguities in contracts are created when a provision can be interpreted in more than one way. However, the provision has to be objectively open to more than one interpretation. Unfortunately, ambiguities often lead to litigation, which is expensive, difficult and the result is not guaranteed or it leads to unintended consequences. In addition, an ambiguity in a contract can be held against the drafter if the contract does not have a provision stating otherwise. Consider the following hypotheticals regarding ambiguities: Hypothetical #1: More of That, Inc. is owned by Bea Trice. One of Bea’s key employee’s wants to purchase the business....

Continue reading
18 January
0 Comments
Sticky

Real or Personal Property

Posted by Evon Spangler
in Uncategorized

It is important to understand the difference between real and personal property because a misunderstanding could have significant legal consequences. Real property generally refers to land and everything that is attached to it. Personal property generally refers to the stuff that you own that is not real property. Trailer homes are generally considered personal property in the State of Minnesota. Therefore, you cannot attach a mechanic’s lien to a trailer home. In addition, a mobile or manufactured home must be licensed as a motor vehicle in the State of Minnesota in lieu of paying a property tax. Real property cannot be conveyed...

Continue reading
04 January
0 Comments
Sticky

Year-End Review

Posted by Evon Spangler
in Uncategorized

Legal knowledge provides protection for your business AND your family. As professionals, we work hard every day to ensure the success of our businesses. Unfortunately, if we are not well prepared and protected, our business, our reputation and even our personal assets can all be lost, due to a single mistake or oversight. Working with a trusted business law attorney, accountant, business banker, financial planner and commercial insurance agent is essential to maintain the success of your business. If you answer “false/no” to any of the following statements, your business has exposure. Is your business properly incorporated? If your...

Continue reading
07 December
0 Comments
Sticky

Medical Assistance and Your Homestead

Posted by Evon Spangler
in Uncategorized

For many people, their homestead is their most valuable asset. However, many people do not realize the impact of medical assistance on their homestead. This article will provide a general overview through hypotheticals. Hypothetical: Mary is 75 years of age and she lives alone in her homestead. She does not have long term care insurance. She decides that she wants to move to assisted living for the community aspect of assisted living. So, she moves out of her home and moves into assisted living. She then sells her home. Analysis: Mary’s home was an exempt asset for medical assistance purposes until she...

Continue reading
23 November
0 Comments
Sticky

The Mistake of a Business Owner Regarding a Purchase Agreement

Posted by Evon Spangler
in Uncategorized

If you are going to purchase a business or sell your business there are several factors that a business owner will want to take into consideration. Business owners often make a mistake when they erroneously believe that a “simple” purchase agreement is sufficient. Consider the following hypotheticals: Hypothetical #1: Susie’s Little Educators, Inc. is owned by Susan Queen. The business is licensed by the State of Minnesota. One of Susan’s key employee’s wants to purchase the business. They find a purchase agreement on the internet and use it. The agreement includes that the key employee will purchase the business under a...

Continue reading
02 November
0 Comments
Sticky

The Sale of a Business and Real Estate

Posted by Evon Spangler
in Uncategorized

It is not uncommon for a business owner to sell, at the same time to the same buyer, a business and the real estate in which the business is based. In other words, the business owner owns the business and the real estate in which the business is based. Often, to save legal fees, a business owner will want to have one purchase agreement that includes both the sale of the business and also the real estate in which the business is based. This is rarely advised. Generally, in this type of situation, you will want to have one purchase agreement...

Continue reading
28 September
0 Comments
Sticky

A Step Up In Basis

Posted by Evon Spangler
in Uncategorized

It is common in estate planning and business succession planning – amongst other areas – to hear the phrase “a step up in basis.” A step up in basis means that the basis (i.e., the value) of the asset is stepped up to the value of the asset as of the date of death. Therefore, the tax is based on the fair market value as of the date of death rather than at the date of purchase. This article will provide a general overview through hypotheticals. The information provided is not tax advice. Please consult with your tax advisor for...

Continue reading