Business Contracts and Transactions
Profit Sharing Agreements
Most operating agreements and bylaws do not specify what is required in a formal Profit Sharing Agreement. This agreement allows partners to determine how to share profits and what is required of each partner to continue the arrangement. This agreement also serves to allow the partners to predetermine what will happen if one of the partners does not fulfill their duties to receive their share of the profit.
Buy-Sell Agreements
Buy-Sell Agreements serve as an important tool for business succession planning. This agreement allows owners of businesses to be proactive before their departure. This document outlines the potential sale price of stock, and the process shareholders must go through to sell their stock. It may also define who the shareholders can and cannot sell to. Having a proper buy-sell agreement in place can create a smooth transition of ownership.
Non-Disclosure Agreements
Non-Disclosure Agreements allow businesses and individuals to share confidential information with a designated party in a secure manner. This agreement defines confidential information that must remain between the parties of the agreement.
Mutual Non-Disclosure Agreements
Mutual Non-Disclosure Agreements allow businesses and individuals to share and receive confidential information with a designated party in a secure manner. This agreement defines confidential information that must remain between the parties of the agreement. Unlike a one-way non-disclosure agreement, a mutual non-disclosure agreement prohibits the sharing of information between both parties to outside individuals or businesses.
Management Agreements
Management Agreements allow businesses to proactively manage employees, properties, and other assets in their business. The terms of this agreement include specific job tasks, duties, responsibilities, and other important factors for managing assets or people. These agreements are integral to the successful operation of any business.
Employee Contracts
Knowing whether someone you hire is an employee or an independent contractor is not as easy as it sounds. Leave the determination and contract up to the experts at Tresp, Day & Associates. These contracts include the term of employment, the scope of work desired, the rate of pay, and other pertinent details of the employee relationship.
Independent Contractor Agreements
When hiring an independent contractor, there are clauses that are required to be in the contract to ensure the work the independent contractor produces is the company's property. This agreement includes the term of the job, the scope of work desired, the rate of pay, and other pertinent details of the independent contractor relationship.
Employee Handbooks
When businesses have multiple employees, an Employee Handbook is a necessary tool. This handbook serves as the rule book of the business. A few key components of an employee handbook discuss dress codes, acceptable workplace behaviors, what to do in case of an emergency, and policies on what to do in situations where employees are made uncomfortable. This document aims to protect both employers and employees
Employee Performance Agreements
Employers always want their employees to continuously improve and become more efficient. By having stated performance benchmarks in place, employees know exactly what they need to do to improve to become better employees. These agreements include performance reviews, statistical results, and goals for the future.
Compensation Agreements
Compensation agreements allow businesses and their employees to fully understand what is expected of each other and how long their working relationship will last. Unlike an employment or independent contractor agreement, this agreement outlines how either partners or other businesses will share in profits from shared business activity.
Royalty Agreements
Have you produced, music, videos, services, or any other type of art? If so, you will want to make royalties every time someone uses your work. You can accomplish this with a Royalty Agreement. This agreement outlines the terms of use for your work, what is required if someone or a business wants to use your work, and how much they must pay each time they use your work.
Letters of Intent
These nonbinding agreements lay out the foundation for the final contract and are usually the first step in closing a major deal. This agreement is generally an informal letter that outlines the proposed agreement from a bird’s eye view. This letter is used to put a party’s interest in writing without agreeing to fulfill the contract without doing the proper due diligence.
Subscription Agreements
Subscription Agreements allow private investors to purchase an interest in private companies. These agreements show the amount of stock or membership interest the purchaser is purchasing, the price of the shares or membership interest, and the general qualifying attributes of the proposed purchaser.
Shareholder Agreements
Shareholder Agreements outline the terms of rights held by the shareholders when they purchase shares of a company. These agreements outline the regulations and requirements for stockholders and what they can and cannot do with the stock over certain periods of time. These agreements are crucial in defining the terms in the company’s best interest and the ones required by law.
Stock Options
Employers rewarding employees with stock options is becoming more prevalent today than ever. Stock options can be a great way to lock in key talent without having to pay top salaries to industry-leading employees. Typically, there are two ways to offer stock options in a corporation: 1) incentive stock options, or 2) non-qualified stock options. These agreements explain which type of stock option is being offered, the number of shares one can purchase, the strike price, and the vesting schedule of the options.
Stock Purchase Agreements
When becoming an owner of a corporation, Stock Purchase Agreements outline the terms and details of the transaction. These agreements show the amount of stock to be purchased, the purchase price, and any regulations as to the holding requirements. Whenever a stock is initially sold to the owners of the company, there must be a stock purchase agreement in place due to strict IRS and state disclosures that must be present in these agreements.
Equipment Lease Agreements
The best way to protect the investment of your equipment is to have a detailed Equipment Lease Agreement that outlines the duties of the individuals or businesses renting the equipment. These agreements consist of defining the equipment under contract, the terms of use, parameters of use, warnings of use, and indemnification of the leasing company.
Master Service Agreement with Statement of Work
One of the most valuable contracts a business can have is a detailed and specified Master Service Agreement. These agreements outline the services either offered or desired to accomplish the objectives of the business. This contract can be used repeatedly with the only piece changing being the terms of the Statement of Work. This agreement includes the scope of work, the amount payable when payments are to be made, ownership provisions, and indemnification clauses.