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Posts tagged "Business Formation & Planning"

Forming a new business in California

When California entrepreneurs are thinking about starting a business, the formation process can be particularly important for its future success. For example, you could create a corporation, a partnership, or a limited liability company, depending on the particular needs of your business and the structure that will be put in place. It can be critical to understand exactly what each of these choices can mean for your business and its operations.

Using social media to raise venture capital

For determined entrepreneurs in California searching for business startup funding, the traditional ways of securing venture capital have proven difficult to say the least. Fortunately, social media platforms have emerged as a viable solution to those looking for funding and those looking to invest. However, finding money to support the next big idea in business is not as simple as making a post every now and then. Based on a study by the Wharton School of Business, there is a science to using social media to attract the right investor for a business opportunity.

Why some cloud startup founders are competing against tech giants

Anyone in California looking to carve their own niche among businesses based on remote storage capabilities in the cloud is going to find a lot of competition from some big and well-established names. However, some enterprising startup founders, like those who were in attendance at an annual cloud tech gathering, are convinced there is room for newcomers in this crowded space. In fact, three of the speakers at this event shared stories about their own successes with cloud-based enterprises.

Differences between startups and small businesses

Entrepreneurs and business owners in California might use the terms small business and startup interchangeably, but there are some key differences between the two. Startups differ from traditional businesses in how they think about growth, how they are funded and how they plan to exit the business. According to a co-founder of business seed accelerator Y Combinator, the difference between small business ventures and startups is that startups are designed to scale.

How to learn from failure as a business owner

Failing at one startup venture does not necessarily mean that a California entrepreneur will never succeed. In fact, research has shown that those who have failed once are actually more likely to succeed the second time around. The odds of success increase further for those who with their first companies for a longer period of time. To maximize the chances of building a successful company, startup owners need to create a product that they love and believe in.

Careful development of NDA terms recommended for joint ventures

When two businesses in California intend to work cooperatively or explore the viability of a joint venture, they generally execute non-disclosure agreements. These contracts define confidential information and how it may or may not be used and often set a time period for the restrictions. The document typically addresses the disclosure and use of confidential information separately.

Startup investments by Google parent total $11 billion

Alphabet Inc., the parent company of Google, oversees vast venture capital investments from its headquarters in California. A change in accounting rules has prompted Alphabet to disclose the fair value of its stock holdings on earnings reports. Currently, the estimated value of the company's startup investments equal $11 billion.

How to craft an exit strategy

When investors in California and throughout the country put money into a tech company, they generally don't see any return on capital until the business is acquired or goes public. However, many tech companies wait so long to be purchased that they run out of money. Therefore, it can be difficult for many investors to see their money back after they part with it.

Common signs that a startup won't succeed

California entrepreneurs may not be surprised to know that startups fail 90 percent of the time. However, it can still be hard to recognize when a startup is failing and needs to be scrapped. One sign that a company doesn't have a bright future is that it doesn't know its customers. Specifically, the business doesn't understand what problem its target market has that needs to be solved.

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