Latest Articles from Our Blog

Registering a trademark for a new business

Many entrepreneurs involved in a business start-up may pride themselves on attending to the myriad details of running a new venture. One thing that even the most conscientious entrepreneurs might overlook during business formation is the registering of a trademark. Having a registered trademark can help a start-up business increase its profile, gain clients or customers and prevent competitors from unfairly taking business away from a start-up company. A trademark can be anything that members of the public associate with a specific business entity. The U.S. Patent and Trademark Office has registered trademarks for music, words and phrases, and scents. These trademarks are used on packaging, letterhead and other communication and advertising. The USPTO receives hundreds of thousands of trademark filings each year and registers less than two-thirds of these filings. They may decide not to register a trademark for a new business for several reasons. A trademark may not…

Pros and cons of buying an existing business

Purchasing an existing business is an option for Maryland residents who would like to become business owners. Before going ahead with the purchase of an existing business, however, it is important to consider the benefits and drawbacks of purchasing an established venture. Although there are many advantages of buying a business that has already gone through its startup phase, the disadvantages could give some potential buyers pause for thought. The obvious advantage of purchasing an existing business is the fact that startup costs will be significantly reduced. An existing business may already have inventory, a trained staff and a loyal customer base. If the business is profitable, the new business owner might also gain immediate access to cash flow that can be used for any improvements they would like to make to the business. In some cases, a downside of purchasing an existing business is the high cost. A business…

Rising use of non-compete contracts sparks controversy

Well drafted employment contracts are critical for many employers in the Columbia area. Successful companies often recognize that because employment is at-will under Maryland law, it is important to draw some contractual parameters. At-will employment means that both the employer and the employee have the right to terminate employment at any time for any reason that does not violate the law. In many industries, non-compete contracts are a key element of employment contracts. Non-compete clauses are often used to keep a salesperson from leaving the company to work for a competitor, taking along clients and leads. Non-competes are also common in the technology industry where they are used to restrict employee movement in order to insulate companies from the theft of trade secrets and intellectual property. In recent years, however, non-competes have spread into other roles and industries. The New York Times reported about this issue, calling attention to a…

Maryland business owners should protect assets during divorce

The end of a marriage is a challenging time for most Maryland couples. A lot of issues typically need to be addressed, from child support to property division. If one spouse owns a business and fails to plan ahead, those assets may also end up being split, jeopardizing the future of the company and the spouse's income. Taking preventive measures to protect the business may go a long way to minimize the potential impact of divorce. Before the wedding, a business owner can take steps to divorce-proof his or her company. This can be done through a prenuptial agreement that lists the business as individual property, exempt from the division of marital assets upon divorce. If it is too late for a prenup, a postnuptial agreement can accomplish the same goal. If there is no pre- or postnuptial agreement, there are still steps that a business owner can take after…

Will improved Maryland economy affect the divorce rate?

As the economy improves, marriage declines, according to a recent study done by a sociologist at the University of Maryland. The study looked at what, if any, effect the economic climate has on marriage in America. It found that a rosier economic future may lead to a higher rate of divorce. About seven years ago, divorce rates dropped as the economy did the same. In the years between 2008 and 2011 alone, the divorce rate dropped by 4 percent. Some people took this to mean that married couples had pulled together and become closer when met with economic difficulty. They called it the silver lining in an otherwise negative situation. Researchers now think that assumption may have been a false view of what was happening. They say, in reality, many people just could not afford the cost of ending their marriages. The numbers represented economics more than it did renewed…

Valuation and division of business assets difficult in divorce

For Maryland business owners, the end of a marriage can bring significant damage to the structure of a business. Some savvy entrepreneurs will have drafted prenuptial or postnuptial agreements that address the manner in which the valuation and division of business assets should take place in the event of a divorce. However, many business owners did not foresee the end of their marriage, and did not envision a scenario in which they could lose a portion of what they worked so hard to build. Absent a marital contract, business assets are subject to the same process of division as any other form of marital assets. This means that both spouses will share in the divided value of the business, regardless of how much or how little either party contributed to the success of the venture. The first step of that process is placing a monetary value on the business. In…

EX-SPOUSE PLEADS GUILTY TO OWING AROUND $90,000 IN CHILD SUPPORT

Many in Maryland know that child support can be an extremely complex and demanding ordeal for both parents involved. The parent raising the child alone often has to struggle to provide adequate food and clothing for their child, and the parent sending payments must sometimes worry about not having enough income to afford payments. One divorced mother has been forced to experience some of these issues first hand when her husband failed to make child support payments for nearly 20 years. Authorities say that the woman's ex-husband, a 54-year-old man, had around $90,000 in unpaid child support payments in 2011. After the county and the state seemed incapable of collecting from the man, his case was transferred to a federal level. The man eventually pleaded guilty for his failing to pay child support, and a court date is currently being determined. The report did not mention if the mother had…

Taking your time with the divorce now may save you later

Many Maryland couples who are experiencing the hurt and discord associated with divorce proceedings often just want the whole thing completed as quickly as possible. Some experts are cautioning against that impulse though in order to save you money and further heartache down the road. Of the divorce lawyers who were interviewed, the consensus seems to be that when going through the difficult divorce proceedings, it is best to (1) be truthful, (2) know your assets, and (3) choose your timing carefully. These three pieces of advice can go a long way in helping couples avoid a hasty end to the marriage that leaves money or future headaches on the table. 1. Be truthfulIf you are dishonest about either financial or non-financial aspects of your marriage, it may come back to haunt you in court and in your pocketbook. If you need to, hire a financial expert to help you…

Coping with legal separation or divorce

We all have our coping mechanisms for difficult times. Sometimes those means of dealing with our troubles are rooted in beneficial behaviors and sometimes they are not. For one Maryland lawmaker, his means of coping with the difficulties of his divorce lead to an increase in excessive drinking and a boating accident that injured several people. Delegate Dwyer says that his drinking began to increase toward the end of last year's General Assembly session when his wife and he separated and then legislation he had long worked on failed due to what he feels was a betrayal by his colleagues. While one perceived betrayal would be enough to make many seek solace in a bottle, it appears that the double whammy of the divorce and failed legislation took its toll on the lawmaker. Delegate Dwyer claims that he has since gotten treatment and no longer drinks. While going through a…