Earlier this year, the Wisconsin Legislature passed Act 258, which will bring updates to Wisconsin’s LLC Law. These changes are set to take effect on January 1, 2023. At a high level, the major updates include the following: For those out there reading, you might be wondering, “What does this have to do with me?” … Read more
Compensating service providers with equity is a pretty regular occurrence with startups. New companies don’t have a lot of cash (or any) to pay the people they need to run the business (just get a quote on the cost to develop an MVP of your new app if you don’t believe me) and providing equity … Read more
Let’s say you just started a new business—congratulations! When you contribute to your new business at the outset, as well as when you contribute again at a later point, that capital contribution and those of the other owners need to be tracked somehow. Enter the Capital Account. A Capital Account is a general ledger used … Read more
Creating your Corporation or LLC is the first step towards the success of your new enterprise. But, as every entrepreneur already knows, creating the corporation (i.e. “mailing it in”), is only the first step. Here are a few additional items you should think about after your Articles of Incorporation have been filed with the WDFI. … Read more
I have been asked quite a bit lately about when one should create a business entity like an LLC. I get told things like: “It is just a small side gig.” or, “It is a direct sales thing.” And I get it. You don’t know if it is going anywhere, and you don’t want to … Read more
I often get asked, “Now that I am an LLC or corporation, I am completely, 100% protected from personal liability, right?” Well, um, how do I put this delicately? Uh, no. No, you are not. “Wait, what!?” It is because the company isn’t an impenetrable shield. It is more like a really high wall that … Read more