Small Business News

Many state laws impose corporate recordkeeping requirements on corporations. Also, shareholders typically have a right of inspection.

As a result of health care reform, health care coverage for certain individuals and employees will be available through health insurance exchanges or marketplaces beginning in 2014. The Patient Protection and Affordable Care Act amended the federal Fair Labor Standards Act to require employers to provide employees and new hires with written notice of the existence of the exchanges and information about health care coverage through them. The Department of Labor has issued guidance for employers regarding the content of the notice, which is required effective October 1, 2013. The Department also revised its model COBRA continuation coverage election notice to include health care exchange information.

Nearly every business must have one or more licenses in order to operate. Finding which licenses are required by your state and local governmental agencies and then complying with all the paperwork can be time-consuming and vexing. However, failing to comply and stay current with license requirements can result in fines and penalties, business closures and lost customers.

Ending a business that isn’t working out can make way for new, successful endeavors. Don’t let the remnants of a business that exists in name only get you in legal hot water. Proper dissolution requires specific filings in both home and foreign states so that the business—and your liability—is legally terminated.

In the face of an outcry from Congress, the IRS announced that it will obtain a search warrant before accessing the email account of taxpayers facing criminal tax charges and that it will not access private email accounts when conducting a civil investigation. However, the IRS may consider "public information" on social media accounts during a tax collection or audit proceeding.

A startup’s entity choice and financing options affect other aspects of the business, including its long-term fate. Familiarizing yourself with some differences among various entities should help when talking with your professional advisors about how to set up and finance your business.

The National Labor Relations Board has postponed its employee rights posting rule pending the resolution of court cases denying the agency's authority to issue and enforce the posting requirement. In an appeals court decision on May 7, 2013, the posting requirement is vacated because it violates employers’ free speech rights.