Practical Project: Starting a Business

Starting Your Business

The first step is to form a company name that should not include words that are prohibited by law and should not be borrowed from other titles. Once the name Sky Blue Bed & Breakfast passes all the criteria, it is necessary to appoint a director of this company. It does not depend on what kind of duties will be performed by the director. The final step is the formation of documents, the essence of which is the licensing of activities. Clarification of the details of the taxation of the summation of all data is required either of one person acting as an agent or the company’s central office. The public must contact the agent, and through him, all potential litigation with the company takes place.

These rules are established and regulated by Congress, which controls the field of registration and admissions. In addition, Congress has the power over the industry, for it alone confers upon it the right to conduct business. This is governed by the Incorporation Doctrine, which gives Congress such power and establishes the form and criteria for company registration. It is also essential to point out that the Sky Blue Bed & Breakfast will be a company LLC and not a corporation. Thus, the constituent documents of the company will be considered valid.

By the law, a company name, internal company statutes and all internal bylaws, an operating agreement, and an annual report are necessary. Non-obligatory documents, which can be more helpful, can be board resolutions and meeting minutes.

Maintenance of the Business

First, Canmore’s bylaws require the company to get a business license for commercial activities in the city. Second, the environmental restrictions require compliance with regulations established by the Environmental Protection Agency. Since the company is dedicated to the separation, recreation and interaction with the environment, it must obtain permits from the FWS, NMFS and NOAA, and the Wildlife Conservation Agency.

The corporate minute book is where vital records about the corporation are kept. It should be done with the help of a corporate lawyer who will keep certain records. One should pay attention to these documents:

1. Articles of incorporation;
2. Stock certificates;
3. A register of addresses and names of shareholders;
4. Documentation of the appointment of the board of directors;
5. Annual reports and other documents.

These sources are excellent tools for proper and successful corporate governance. If the corporation is ever audited, it contains all the necessary records in one place. It will also come in handy if the corporation seeks financing or if it is to be sold.

Shareholders

Anyone can purchase shares to receive dividends and become a holder of company shares. It should be stressed that there are fractional shares obtained in the process of a dividend reinvestment plan, which can complicate the procedure for buying a share.

Stockers go to see the records and the company’s financial history before the sale of shares. That way, they can make sure in advance that the data is in line with reality. A corporate ledger is the place where stock data is kept.

To prove that a person is a holder of shares, it is possible to use a Share Certificate, which is issued by a company, certifying on a specific date that a person is the registered holder of shares in that company.

The payment of dividends is set and regulated by the board of directors, who handle the declaration date, the ex-dividend date, the record date, and the payment date.

Any owner of shares has certain rights: the right to participate in meetings and voting, to receive dividends, and to own a company’s part.

Meetings

Most corporations are required to hold at least one shareholder meeting a year. However, such a single meeting is often not enough to discuss current issues. The Business Corporations Act dictates rules about the frequency of meetings and their nature.

Corporations are also required to prepare and keep the minutes of these meetings. There is often a statutory requirement to keep minutes of meetings, but the exact length of time depends on the state.

The board is required to notify people of the meeting before it is held. The notice must be given to owners, shareholders, officers, or employees. The message of the meeting must state:

1. The type of meeting (regular or special);
2. Where and when the meeting will take place.

General corporate law dictates that notice must be sent ten days before the scheduled meeting. For a holder of stock to hold a meeting on a particular subject, they must file a written request for a special session, which must be supported by at least fifteen percent of all stockholders.

Contracts

Depending on the type of company, there are differences in who has the signature power. It can be either party with actual authority or parties with actual authority to sign contracts.

If there were insurmountable objective circumstances, the work deadline could be extended, but Rolly needs to prove this.

If the contractor has not completed the work on time, the consumer has the right to set a new deadline for him or demand a discount. He can also hire another contractor and demand payment for his work from a contractor who has not fulfilled the obligation on time.

Shares

A buy-sell agreement is one of the tools a company can have to protect its value. It can also provide vital business salvage methods in a voluntary sale of stock or shareholder bankruptcy. With such an agreement, not only is the business protected but the family of the deceased shareholder is fairly compensated for their loved one’s share without depleting the company’s necessary reserves. In addition, a corporate purchase agreement is also recommended.

To change the name, it is necessary to:

1. Invent a new name.
2. Notify the Secretary of State. There is a company name change form in the office.
3. Change licenses and permits.
4. Notify the IRS.
5. Apply for a new EIN.
6. Update your business documents.

The Business Corporations Act is a document that is required to be followed in this process.

The company can go in public. It is necessary to make an initial public offering (IPO), the first sale of the company’s shares.

The following documents will be required to attract investors: an investment memorandum, an economic model, and a teaser of the project.

Employment

1. Canada Labor Code will assist in resolving the issue of payment of money to employees. In Alberta, the law allows payments to be delayed up to 10 days.
2. The Employment Standards Code governs recruitment and working conditions.

1. It is necessary to employ employees depending on the availability of the required professional skills.
2. If the refusal is based on the lack of such skills, then the employee has no right to complain about discrimination.

An employee who is not allowed to celebrate a religious fiesta can file an employment discrimination lawsuit. In addition, it is necessary to compensate the employee for the loss of wages for the opportunity he has realized to get free time on a holiday.

It is forbidden to fire employees without objective reasons; this may be the reason for going to court.

Litigation

Documents submitted in response to a claim must be related to the case in question and contain potentially important information. Important documents useful in the analyzed situation include the following:

1. Electricity bill / water bill / property tax receipt;
2. No-objection certificate (NOC) from landlord for registered office;
3. Rental or lease agreement between landlord and the company.

All communications of the company with government agencies pass through the registered office. In other words, without such an address, the company cannot communicate with agencies and other organizations.

The main advantages of this out-of-court procedure are a faster resolution of the issue through an agreement between the parties, the absence of judicial debate in the judicial history of the company. In addition, judicial proceedings are usually subject to additional costs. In case of victory of the opposite side, there may be large fines for the company and damage its reputation. Out-of-court settlement presupposes mutual consent to conduct the proceedings in this format. Mediation, collection agencies help, or negotiations are ways to do this.

IP

A company’s logotype is a subject of trademark law because, in this case, it identifies a product or service and is used to distinguish it from its competitors.

To register a trademark, you will need to file a trademark application with all the requirements. Contact the Canadian Intellectual Property Office for this procedure.

Trademark law is designed to protect established businesses from infringers using the trademark name. You can search for trademarks through the USPTO, which provides all the relevant data on each company and avoids plagiarism or copyright infringement.

For example, suppose another company will use Sky Blue Bed & Breakfast. In that case, our firm can sue for breach of intellectual property rights, thereby making the company pay a fine established by law and rebranding.

Real Estate

A registered buyer on the title is the person who owns the property.

One can find out who the past owners were by ordering a preliminary report from a real estate specialist or by visiting the County Recorder’s Office.

Fee simple rights assume that the building, together with the plot of land on which it is located, is wholly occupied by the owner. Its tenure is unlimited, and the purchaser is fully responsible for the maintenance and repair of the property.

An easement is a limited right to use someone else’s thing in land relations. The Land Titles Act will help you determine if there is an easement.

Any repairs, including second-level superstructures, must be performed per the Canadian National Energy Code for Buildings. Failure to comply with this law may lead to the prohibition of ongoing construction.