David Herzog Legal

Home / FAQ
27Feb 2020

What is a dividend?

Hopefully something that you have plenty of! A dividend is the cash (or property) that is transferred from the corporation to its shareholders after all expenses are paid, including the corporation’s taxes. Only C Corporations pay “dividends”; S Corporations make “distributions”, since S Corporations themselves do not generally pay taxes. A dividend is not a […]

02Sep 2020

What’s a “distribution”?

In lay terms, a distribution is another way of saying a payment to a shareholder, partner or member of the business’s profit. Typically the distribution is in the form of cash, but sometimes it’s in the form of property like an asset. What you receive typically depends on your percentage interest in the business. So […]

27Feb 2020

What does a CEO do?

A CEO is the Chief Executive Officer. This is the person responsible for over-seeing all of the day-to-day activities of the corporation. Sometimes LLCs have CEOs. The CEO is the face of the company, and so larger businesses tend to hire a CEO that has appeal to the public to encourage investment in the business, […]

27Feb 2020

What does a CFO do?

The Chief Financial Officer, sometimes known as the treasurer, handles the financial aspects of the corporation or LLC. In larger businesses, the CFO becomes an advisor to the CEO, conferring on best approaches for increasing business or investment. In a very small business, the CEO and CFO are frequently the same person, and there’s nothing […]

27Feb 2020

What does a corporate secretary do?

Corporate secretaries are the unsung heroes in the officer world. They are responsible for the grunt work of the corporation or LLC, making sure i’s are dotted, t’s crossed, taking corporate minutes, and frequently interacting with the business’s lawyer to make sure paperwork and corporate housekeeping are all in order. In a very small business, […]

27Feb 2020

What does a COO do?

The position of Chief Operating Officer is not required under state law, but businesses that are growing, or intend to grow, will almost always have one. The COO is responsible for the day-to-day of the business, and usually reports to the CEO. And so I know I said that that’s the CEO’s job; in larger […]

30Oct 2020

Should my corporation (or LLC) have a Vice President?

It depends. A vice president in your corporation (or LLC) is tasked with acting on behalf of the CEO or President of the entity. This could come in handy if you, presumably being the CEO, aren’t available to sign a particular emergent contract. In your absence, the VP would act on your behalf with all […]

30Oct 2020

Why do some corporations (or LLCs) have a President instead of a CEO, or both?

Strictly speaking, every California corporation is required to have a CEO. So the real question is whether your corporation should also have a President. The President of a corporation is typically tasked with general supervision, direction and control of the business and officers of the corporation. Practically, though, where there’s already a CEO, the President might be […]

27Feb 2020

What is an “annual meeting”?

Corporations under most state laws, including California, require that the shareholders and the board of directors of a corporation hold an annual meeting. Some LLC statutes require it as well, though not in California. Those meetings are opportunities to vote on annual issues, like elections of officers and review last year’s financials. In very small […]

30Oct 2020

How do I sign contracts for my LLC?

Typically an LLC enters into its contracts by and through its authorized representatives. For an LLC, that’s going to be its Manager, or one of its Managers if it has more than one. However, if the LLC has chosen to walk and talk like a corporation, it’s going to be the LLC’s CEO, President, Vice […]

Contact

inquiries@davidherzoglegal.com

VCard

All 5-STAR reviews.

My Cool Low-Budget Videos
© 2012-2016 David Herzog Legal | inquiries@davidherzoglegal.com | Disclaimer
DAVID HERZOG LEGAL