202002.21
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Could This Be Your Business?

By Kelly Bagla, Esq. Margaret Thatcher once famously said, “If you want anything said, ask a man. If you want something done, ask a woman.” The number of female founders and owners of businesses has increased dramatically in recent years, and the impact of businesses with women at the helm is significant in terms of revenues and hiring. A 2018 report by the SCORE Association, showed women-owned enterprises increased 45% – five times faster than the national average from 2007 to 2016, comprising 39% of America’s 28 million small businesses, employing nearly 9 million people and generating more than $1.6 trillion in revenue. This article is dedicated to all the women who have thought of owning their own business but have yet to take the first step. Every successful woman started just like you – taking the first step. Below are some successful women who redefined power by building their own businesses against all odds. SARA BLAKELY, FOUNDER SPANX At 29 Blakely invested her entire life savings, $5,000, trying to come up with something flattering to wear under her white slacks. Six months later the one-time Disney World ride greeter and door to door fax machine salesperson found her new line of shaping underwear. Since then Blakely has taken Spanx from a one product wonder sold out of her apartment to a powerhouse with $250 million in annual revenues. CAROL BARTZ, CEO YAHOO! Carol Bartz is not an ivy league woman with an MBA, but she is a woman with an attitude and an aptitude for business and people. From humble beginnings, she overcame tremendous personal hardships and disadvantages to become one of the most valuable CEO’s in the nation. DEBBIE FIELDS, FOUNDER MRS. FIELDS COOKIES In 1977, Fields founded Mrs. Fields Bakeries, now one of the largest retailers of fresh cookies in the USA. Fields started be giving away fresh baked cookies on a busy street corner. Now, the company has expanded into 11 different countries and is worth about $65 million. J.K. ROWLING, AUTHOR AND CREATOR OF HARRY POTTER BOOKS J.K. Rolling is the creator of the ‘Harry Potter’ fantasy series, one of the most popular book and film franchises in history. Rowling was a struggling single mom on welfare barely getting by before her first book was published in 1997. MYRA BRADWELL, FOUNDER THE CHICAGO LEGAL NEWS In 1869, Myra Bradwell applied to the state bar, who rejected her. In 1870, she filed a lawsuit that went all the way to the United States Supreme Court. The justices ruled against her, upholding Illinois’ right to ban women from the state bar. In 1868, Bradwell stated the “Chicago Legal News.” In her weekly newspaper, she wrote about Illinois state court decisions and legal reforms. Bradwell’s paper was a huge success and became the most widely read legal newspaper in the country. Everyone knows who Oprah Winfrey is and the most powerful advice she can give anyone who wants to start their own business is: Go with your gut instinct Focus on helping others Money should not be your priority Learn how to turn negatives to positives Nothing worth having comes easy Surround yourself with those you wish to be like It starts with the belief Be proud to be yourself There are no limits on who can become a great entrepreneur. You don’t necessarily need a college degree, a lot of money or even business experience to start something that could become the next major success. However, you do need a strong plan and the drive to see it through. If you want more flexibility, to make more money, to have more control over your future, then it’s time you started your business. I’m the CEO of GoLegalYourself.com where we provide legal tools for savvy entrepreneurs and I’m proud to provide a limited time offer of 40% discount on our Startup Essentials Package. Please use the code Startup40 at checkout. For more information on how to legally protect your business please pick up a copy of my bestselling book: ‘Go Legal Yourself’ on Amazon or visit my website at www.golegalyourself.com Disclaimer: This information is made available by Bagla Law Firm, APC for educational purposes only as well as to give you general information and a general understanding of the law, and not to provide specific legal advice. This information should not be used as a substitute for competent legal advice from a licensed professional attorney in your state.

202002.21
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Fall In Love With Your Business

By Kelly Bagla, Esq. With each new year, entrepreneurs look to turn their vision into a business. These startups are often overflowing with tremendous ideas, energy and optimism, but don’t always have a roadmap for the legal aspects involved in starting a business. In the flurry of drumming up new customers, getting ready for a website launch and building the first prototype, it’s all too easy to put off some of the less glamorous, more administrative aspects of running a company. Company filings and regulations are not the most exciting parts of your startup, yet they are critical to the health of your business and personal finances. Here’s a list of administrative aspects you need to consider for your startup or small business: PICK A NAME – MAKE SURE YOU ARE LEGALLY PERMITTED TO USE IT Before you start printing our business cards, make sure the great new name you thought of is not infringing on the rights of an already existing business. Start with a simple google search, conduct a free trademark search and then conduct a search with the Secretary of State. INCORPORATE YOUR BUSINESS Forming a corporation is an essential step to protect your personal assets from any liabilities of the company. Each business structure has its own advantages and disadvantages, depending on your specific circumstances. GET A FEDERAL TAX ID NUMBER To distinguish your business as a separate legal entity, you will need to obtain a Federal Tax Identification Number, also referred to as an Employer Identification Number (EIN). The EIN is issued by the IRS and acts as a social security number for your business. This number will identify your business with the IRS and your clients. OPEN A BANK ACCOUNT TO START BUILDING BUSINESS CREDIT When you rely on your personal credit to fund your business, your personal mortgage, auto loan and personal credit cards all affect your ability to qualify for a business loan. Using business credit separates your personal activities from that of the business. The begin building your business credit, you should open a bank account in the name of your company and the account should show a cash flow capable of taking on a business loan. LEARN ABOUT EMPLOYEE LAWS Your legal obligations as an employer begin as soon as you hire your first employee. You should spend time understanding what your obligations are according to the state you conduct business in. You should know federal and state payroll and withholding taxes, self-employment taxes, anti-discrimination laws, unemployment insurance, workers’ compensation rules, and wage and hour requirements. Obtain the necessary business permits and licenses Depending on your business type and physical location, you may be required to have one or more business licenses or permits from the state, local or even federal level. Such licenses include, general business operation license, zoning and land use permit, sales tax license, or professional licenses. FILE FOR TRADEMARK PROTECTION Using a name instantly gives you common law rights as an owner, even without formal registration. However, trademark law is complex and simply registering your company in your state does not automatically give you common-law rights. In order to claim first use, the name has to be trademarkable and in use in commerce. It’s always a great idea to protect your business name as it can become a valuable asset of your company. GET YOUR LEGAL DUCTS IN A ROW No matter how busy things with your startup get, set aside some time to address these matters and take your legal obligations seriously. Getting your legal ducks in a row right from the start will help you avoid any pitfalls down the road, and will help you scale your business successfully as you grow. I’m the CEO of GoLegalYourself.com where we provide legal tools for savvy entrepreneurs and I’m proud to provide a limited time offer of 40% discount on our Startup Essentials Package. Please use the code Startup40 at checkout. For more information on how to legally protect your business please pick up a copy of my bestselling book: ‘Go Legal Yourself’ on Amazon or visit my website at www.golegalyourself.com Disclaimer: This information is made available by Bagla Law Firm, APC for educational purposes only as well as to give you general information and a general understanding of the law, and not to provide specific legal advice. This information should not be used as a substitute for competent legal advice from a licensed professional attorney in your state.

202002.21
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New California Law Affecting Independent Contractors And Freelancers

By Kelly Bagla, Esq. California has done it again, making it even harder for independent contractors and freelancers to make a living in the State of California. Last year the California Supreme Court announced a demanding three-part test hiring companies must meet to classify workers as independent contractors instead of employees. On September 18, 2019, California governor Gavin Newsom signed into law California Assembly Bill 5 (AB-5) that becomes effective January 1, 2020, which broadens the three-part test beyond violations of the state’s wage orders, narrows the types of work to which that test applies, and authorizes the city attorneys of big California cities to sue hiring companies to enforce the new law. This could potentially reclassify millions of independent contractors as employees and dramatically reshape the future of independent workforces in California. The court held in the Dynamex Case that an “ABC Test” must be used to determine worker classification. A worker can only be classified as an independent contractor if: The worker is free from control and direction in the performance of services; and The worker is performing work outside the usual course of the business of the hiring company; and The worker is customarily engaged in an independently established trade, occupation or business. The most immediate implication of AB-5 and the ABC Test is that it turns independent contractors into employees. AB-5 puts ride-sharing and delivery companies, such as Uber, Lyft and DoorDash, in the spotlight. AB-5 will also limit the amount of work a freelancer can do for a company, such as independent writers who make a living writing articles for various news outlets or magazines or even websites, as under this law, freelance writers will only be allowed to write 35 submissions before they are either hired as an employee or not used again by the company, leading to loss of work. Who is exempt from AB-5? The types of businesses that are exempt from the bill include but are not limited to: doctors, lawyers, dentists, insurance agents, accountants, engineers, real estate agents, hairstylists and a variety of creative professionals. This does not mean that all of these businesses will be automatically labeled independent contractors. In addition to the ABC Test, these businesses will also have to pass the multi-factor test applied in the Borello case. What to do next? There is no doubt that AB-5 will have a meaningful impact in California so it’s a good time to start planning and taking the necessary steps now. An immediate step you can take is to incorporate your business and now you will fall within the business to business category where hiring companies will continue to hire without the threat of having to turn you into employees. I’m the CEO of GoLegalYourself.com where we provide legal tools for savvy entrepreneurs and I’m proud to provide a limited time offer of 40% discount on our Startup Essentials Package to help you prepare for the AB-5 Law that will take effect January 1, 2020. Please use the code Startup40. For more information on how to legally protect your business please pick up a copy of my bestselling book: ‘Go Legal Yourself’ on Amazon or visit my website at www.golegalyourself.com Disclaimer: This information is made available by Bagla Law Firm, APC for educational purposes only as well as to give you general information and a general understanding of the law, and not to provide specific legal advice. This information should not be used as a substitute for competent legal advice from a licensed professional attorney in your state.

202002.21
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Trademarks – What’s in a name?

By Kelly Bagla, Esq. Intellectual property law impacts every business, whether you know it or not. For example, the moment a name is used in relation to your business, your goods or services, certain trademark rights are created. Similarly, as soon as your website or other promotional materials are created, certain copyright rights arise. By arising automatically through everyday business activities, these basic intellectual property rights can become valuable assets of your business. Unfortunately, these same everyday business activities can also create substantial legal headaches if the creation and use of your intellectual property is not handled properly. Your investment in a new company or product brand name could be wasted if your chosen name is not protectable as a trademark. Even more frightening, your new name could pose infringement risks and liabilities if not properly researched prior to implementation and use. A trademark is any word, name, or symbol used in commerce to identify and distinguish your business, product or service. A trademark can be considered a business’s brand name and use of a trademark without permission can be considered infringement of the trademark holder’s rights. Trademarks are registered with and granted by the United States Patent and Trademark Office. The good thing about trademarks is that common law trademark rights can be created by simply using a name or logo as a trademark, such as using the mark to identify your business. Any time you claim rights in a mark, you may use the “TM” (trademark) designation to alert the public to your claim, regardless of whether you have filed an application for registration of the mark. It is the use of a mark that creates the common law rights. Broader protection may be available through other means and is usually advisable. The bad this about trademarks is that this ease of creating trademark rights means that almost all businesses own trademarks making it very ease to inadvertently violate or infringe on the trademark rights of others. Such trademark infringement can be very costly for your business. Alternatively, your business may invest significant time and money in a name that you perceive to be a trademark, only to later discover that the name is not protectable as a trademark. Therefore, is it important to carefully consider, as early as possible, what trademark to use, both to ensure your investment is protectable and to avoid infringing upon the rights of others. So why trademark your name, product, service or brand? Trademarks are an effective communication tool with your customers Trademarks make it easy for customers to find you Trademarks allow businesses to effectively utilize the internet and social media Trademarks are a valuable asset Trademarks are inexpensive to acquire Trademarks never expire There are many considerations that you must think about before selecting a name and the filing for a trademark and seeking profession advise should always be your first step. For more information on how to legally protect your business please pick up a copy of my bestselling book: ‘Go Legal Yourself’ on Amazon or visit my website at www.golegalyourself.com Disclaimer: This information is made available by Bagla Law Firm, APC for educational purposes only as well as to give you general information and a general understanding of the law, and not to provide specific legal advice. This information should not be used as a substitute for competent legal advice from a licensed professional attorney in your state.