Close Corporation Valuation Form: Fill & Download for Free

Your question involves a few items: general business planning, corporate law, securities law, and tax issues. The factors in deciding about incorporation relate to things like what the company's future business plans involve. Will it remain a small close corporation doing business in one state and not raise any significant amounts of money, if so, it may want to form an S-corp or LLC in the state it is located in. This is just one example of factors that can help the owners decide which state to use for incorporation, whether they have to register or qualify the corporation to do business in other states, and whether to use one of the 2 most common forms of corporation C or S. For example, if you want to issue a certain preferred class of stock to the founders and a class of common stock with less rights to investors or employees, you cannot use an S corporation.Many startups choose to form a Delaware C corporation and issue common stock or stock options to employees. If you have your office in California, you would also need to register the corporation to do business in California as a foreign entity. It is also often recommended to have the board and shareholders approve a written equity compensation plan and obtain 409a valuations of the stock for accounting, legal, and tax purposes. You would then issue the stock or options pursuant to the rules of the plan out of a pool of stock or options set aside for employees, typically some percent of the total equity of the company like 5, 10, 20%.The first thing you need to do is incorporate before you make any offers or arrangements with employees or consultants. You don't want to be considered to have entered into a general partnership or other arrangement with that other person. You can't offer and give equity in a corporation that is not a legal entity yet. Any equity you provide is a security subject to regulations under state and federal securities laws. This means you need to follow the law for both the offer and issuance of those securities. Typically, you will need to file exemptions from registration for those issuances with state and federal regulators, e.g. SEC.Your question seems simple enough on the surface, but it really does involve a lot of land mines that could blow up down the road if not handled properly early on to affect the company, the employee, and you personally. I am just giving some general issues that could come up and there are too many issues to explain them all here. 83b elections, 409a valuations, tax basis, vesting, creditors rights, officer liability, and EPIIAs are just some of the concerns to examine, so I would highly recommend at least getting an initial consultation with a local attorney.

Prince Mohammed bin Salman (MBS) was expected to eventually rise to the top spot to inherit his father’s throne, but the timing of the move has raised eyebrows. When King Salman ascended to the throne in 2015 there were rumors that he was in bad health and might have some form of dementia. These rumors were quashed by King Salman’s relatively frequent public appearances in which he has shown his age but appears entirely capable. The appointment of MBS as crown prince can only resurface questions about Salman’s health.It also cements MBS’ position as the driving force in Saudi politics—for better or for worse. MBS has taken the lead on the Aramco IPO, which the Saudis think, perhaps foolishly, will be the largest corporate valuation in history. As Defense Minister he has overseen the Saudi-led campaign in Yemen, which has not gone well. His Vision 2030 economic reform plan is the best economic reform package that a few thousand billable hours to management consultancy firms can buy. An Iran hawk, he is believed to be a leading figure behind the ongoing crisis with Qatar, which the State Department announced yesterday has left them “mystified” by the confusing actions of Saudi and the UAE.If the rise of MBS helps accelerate his reforms, the ouster of Mohammed bin Nayef (MBN) will remove some of the brakes. MBN was viewed as more conservative and traditionalist on all of the above questions. He advocated more restraint towards Iran. He may also have been “the most pro-American prince ever to be in line to the throne” and was a favorite of the American intelligence community. While it would be narcissistic to think that Washington plays much of a role in Saudi succession planning, it’s worth wondering whether the Trump Administration’s poor relationship with the intel community and apparently close ties with MBS made the timing of this move easier for the Saudis.Whatever the precise cause of the timing, the driving motivation for all of these reforms, as Walter Russell Mead wrote on Monday, is a Saudi fear that the future is slipping away from them. Surrounded by rivals, unsure of whether or not oil will continue to guarantee wealth, and rife with internal tensions, the Saudis seem willing to try something radical.Since the founding of Saudi Arabia in 1932, the six kings prior to Salman reigned for an average of about 14 years. Should he rise to the throne within the next five to ten years, MBS can reasonably expect to rule Saudi Arabia for the next half century. If they weren’t already, American policymakers looking to grow the U.S. relationship with Saudi Arabia should start paying attention to Mohammed bin Salman. He’s going to be with us for a long time.

I’ll provide a basic explanation but the specifics of the job are dependent on the size of the company.Working with the finance team on a weekly or monthly close process and ensuring transactions are appropriately coded to the proper cost centers (GL Accounts).Forecasting Budgets which would include revenue, COGS, expenses for the year and preparing a forecast for board approval for the year. This would also include monthly reviews with the accounting teams and cost center owners to ensure the budget is within expectations and revenue goals are achieved.Developing the agenda and reporting on KPI’s for quarterly board meetings on performance, problems, etc.Meetings - Vendors, Partners, etc.Reviewing internal business process and or the development of a new business process to support business initiatives.Meeting with the management team to discuss budget impacts and or needs. Examples include the marketing team wants approval outside of the approved yearly budget. A CEO typically has discretionary approval up to a specific dollar amount for which they would not need board approval.Meeting with HR on hiring, retention, training plans, corporate culture, and employee incentives.Reviewing commission plans, payouts, etc.If financing is needed, working with creditors.Periodic areas of review - Review of company credit profile, filing meeting notices with state or federal agenciesCorporate performance reports - for month shareholder reports.Working with the marketing team to develop a marketing strategy to support corporate and product brand initiatives.Review of major technology investments which may include testing, piloting, contract negotiations, etc.Working with Legal teams on intellectual property trademarks and patents. A trademark filing is an ongoing process that takes a few years.Corporate filings - State and Federal Taxes and filing for Licences in States where the company has employee’s or assets.Development of corporate valuation - Depending on the operating agreement, the company may have to value its units/shares on a yearly basis, especially if the company offers options.Investors - Valuation of company, subscription agreements, modifications/changes to operating agreements - Typically a 6–8month process with constant care and feeding.Industry and Competitor Research and Analysis - Development of strategies and marketing/pr efforts through analysis of markets, demographics, etc.Social Responsibility - Non-profit events, donations, contributions to efforts, initiatives, companies and programs that support the local community and national/international welfare.News - Spend about 20–30 minutes per day reading books from experts as well as recent news events that may impact the company.This is a basic list and there are plenty of other fiduciary responsibilities and or obligations that fall on the CEO. Over time, as the organization grows, the CEO will spend less time on the actual management of those functions but more time on the review of performance, strategy, etc.