Leo K. Barnes, Jr. joined John Agogliati, a business valuation expert with Marshall & Stevens, to address “Law You Should Know” the popular podcast hosted by Kenneth Landau, Esq. that’s now in its 30th year. Their discussion covered a number of topics pertaining to family-run businesses, including the importance of corporate structure to any commercial enterprise, family or otherwise.
According to Leo, ensuring that corporate protection is in place is the most crucial step business owners can take when embarking on a new venture. Doing so will protect the owners from personal liability for the company’s debts and liabilities should something go wrong. Because the various corporate structures each have their own advantages and disadvantages, an experienced business attorney, as well as appropriate tax and valuation professionals, should be consulted to ensure that a suitable corporate structure is adopted for that particular enterprise.
Leo also advised that once a corporate structure is in place, the principals to a family business check in with their legal counsel at least once a year to discuss any changes to the global business environment that might require a specific course of action.
To learn more about the ins and outs of family businesses, please listen to this informative and insightful conversation: “Best Practices for a Successful Family Business.”