Choosing the Right Person for a Business Partner

partner, Wheaton business law attorneyIf you are starting a new business or thinking about a potential deal that could have a dramatic impact on your existing company, it is critical to choose your partners carefully. Selecting the right partner is especially important if your business is still in its infancy.

Perhaps the best way to think of a business partnership is as similar to marriage: the two of you are uniting your interests and efforts with the idea of building something that will be successful. The comparison to a marriage is even more appropriate when you consider that you will probably be spending more time with your business partner than you do with your spouse. An experienced business lawyer can assist you in selecting the right partner for your new enterprise.

Do You Need a Partner?

The first thing that you should consider when looking for a business partner is whether you even need a partner or not. To determine your needs, you should carefully analyze your business plan, your finances, and the current state of the market. In a partnership, both—or all, as the case may be—partners must take on certain risks and work with very little financial return for a period. Depending on your situation, it may be possible for you to stay in that role by yourself and to hire an employee that you trust but who is not invested financially in the company.

What Will Your Partner Do?

Before you select a partner, you should have a solid idea of what you need from him or her. If you only need capital and investors are not a viable option, you might wish to take on a silent financial partner. Conversely, you might need a great deal of assistance with certain parts of your company. If you have good sales and marketing skills, for example, your business may need someone with a more technical background to focus on product development.

It is also helpful to understand the level of personal investment that you expect from your partner. You may be fine with working 16-hour days, but will you want your partner to do the same? It is patently unfair to surprise your partner with your expectations only after you have signed a partnership agreement. Your attorney can work with you in identifying your needs and expectations for your ideal partner. From there, you can start your search for someone who fits the bill.

Compromise May Be Necessary

While you should develop an idea of what your perfect partner would be, keep in mind that you might never find a person who checks all of the boxes on your list. For example, you might find someone whose skills complement your own almost perfectly but who cannot commit to working long hours every week. In such a case, you might need to compromise on some of your expectations. With the help of your attorney, you can customize the compensation and risk structure of your partnership to account for your compromises.

Call a Wheaton Business Lawyer for Help

If you are considering a new partnership, an experienced DuPage County business law attorney can help you address all of the important details. Call Stock, Carlson, Oldfield & McGrath LLC at 630-665-2500 today for a confidential consultation.

Sources:

https://www.inc.com/minda-zetlin/how-to-tell-if-youve-found-the-right-business-partner.html

https://www.entrepreneur.com/slideshow/300168

Dual Agency in Real Estate – What Every Home Buyer and Seller Should Know About Their Real Estate Agent’s Interests

Wheaton real estate lawyersPeople often assume that a real estate agent is there to represent them and their interests. Sadly, this is not always the case. Neither state or federal law prohibits a real estate agents from having conflicting interests, and some exploit that loophole to the fullest extent possible. Learn more about “dual agency” among real estate agents, including how it could affect your next real estate transaction, and discover how our seasoned Wheaton real estate attorneys can minimize the risks. 

Dual Agency in Real Estate – What It Is and Why It Matters

In an ideal world, a real estate agent would work with only the buyer or the seller – never both. Sadly, dual agency is extremely common among agents. In this scenario, the agent provides services to both the buyer and the seller, and that allows them to keep the entire commission. In short, the only interests they are representing are their own, and that can create all kinds of issues in a real estate transaction. 

As an example, consider a situation in which the seller informs the agent that they recently learned of some foundation issues with the house. Instead of disclosing the full extent of the details to potential buyers of the house, the agent may then downplay the severity of the issue. As a result, the buyer loses money on a house that is unfairly priced.

Avoiding Dual Agency in Your Next Real Estate Transaction 

The one key thing that buyers and sellers can do to protect themselves from the consequences of dual agency is to ensure they know whose interest their agent is serving. Ask them, point blank, if they are representing you exclusively, and if they have a fiduciary duty to do so. These are known as single agents. Other types of real estate agents – most of which you will want to avoid – include subagents, who work with the buyer but have a duty to the seller; transactional agents, who facilitate the transaction but have no responsibility to either party; and dual agents, who are somehow supposed to represent the interests of both parties in a real estate transaction. 

Our Wheaton Real Estate Lawyers Can Protect Your Interests in a Sale or Purchase 

Finding a single agent can be difficult, so not all buyers and sellers can rely solely on the ability to do so. Instead, know that there are other ways to protect your interests during the purchase or sale of a home. The seasoned DuPage County real estate lawyers at Stock, Carlson, Oldfield & McGrath, LLC can help. Call 630-655-2500 to schedule your consultation today.

Source:

https://www.chicagotribune.com/classified/realestate/ct-re-1223-kenneth-harney-20181223-story.html

 

Not Updating Your Estate Plan After a Divorce Can Put Your Heirs at Risk

Illinois wills and trusts attorneysIf you have an estate plan in place, congratulations! You are already doing better than most Americans. Estate planning documents are not evergreen, however. Instead, the guarantor must review them regularly and update them whenever a significant change occurs. Perhaps the most overlooked (and potentially devastating) issue is that of divorce. Learn more about how not updating your estate plan after a divorce can put your heirs at risk, and discover how our seasoned Wheaton wills and trusts lawyers can help set things right again. 

Divorce and Your Estate Planning Documents

During a divorce, marital assets are divided and then distributed, which can drastically affect the value of your estate. As such, the exact details of your will or trust may change. There may be less to distribute to your heirs, or perhaps some specific assets went to your ex-spouse. In either case, your estate plan must be updated to reflect these changes in your net worth. Furthermore, you must practice due diligence to ensure that an oversight does not occur. For example, your divorce decree may state that your spouse is no longer entitled to any of your retirement pension plan, but if you do not change the designated beneficiary and you pass away unexpectedly, the money could still go to your ex-spouse, rather than the intended heirs. 

Updating Your Estate Plan After an Illinois Divorce

People often put off updating their estate plan after a divorce – perhaps because they have a new lease on life and do not fear being affected by the potential consequences of doing so. Yet, every day, tragic and unexpected events occur. Protect your heirs from mishaps by ensuring you update your estate plan as soon as your divorce has been finalized. Areas to focus your attention include:

Your healthcare proxy. While there are some divorced parties who may trust their ex-spouse to continue acting as their healthcare proxy, this is a pretty rare occurrence. Ensure that someone you care about and trust is put in charge of your medical decisions, should an accident occur, by taking the time to name a new healthcare proxy in your estate plan;

Your power of attorney. Just as you may not trust your ex-spouse to make decisions regarding your life, you may not want to trust them with your finances after a divorce has occurred. 

Your designated beneficiaries. While, in most cases, your will or living trust will dictate how assets are distributed upon your death, certain assets, such as pension plans and retirement accounts, cannot be overruled by an estate plan. Instead, the policy goes to the named beneficiary. Avoid wrongful disbursement by ensuring you update your beneficiaries. 

Guardianship of any minor children. While, usually, children will go to the other parent if one passes away, there are scenarios in which this option may not be appropriate (i.e. abuse or neglect). Furthermore, there is always the chance that you and your ex-spouse’s deaths will occur in-tandem. If this happens, the courts may struggle to determine who has rightful guardianship over your children (this could be especially true if your spouse has also named possible guardians in their own estate plan). Whatever your scenario, protect your children by ensuring that guardianship is considered and updated accordingly after your divorce. Also, be sure to update the trustee if you have a trust account for your children. 

How Our Wheaton Estate Planning Lawyers Can Help 

For most people, divorce signifies the start of a happier, more fulfilled life. The last thing you want to worry about is the possibility of your death. Stock, Carlson, Oldfield & McGrath, LLC can help. Backed by more than 40 years of legal experience, our DuPage County wills and trusts lawyers can examine your documents and assist you in making whatever changes are necessary. Call 630-665-2500 to schedule your consultation today. 

Source:

https://www.forbes.com/sites/christinefletcher/2019/01/08/9-things-you-need-to-know-about-estate-planning-after-divorce/#67dcac783e31