Expanding the Tribe of Accredited Investors
September 1, 2020
Slowly but surely, the U.S. government is steadily expanding the opportunity for more and more Americans to participate in private capital markets. Since the end of the Great Depression, U.S. regulations have generally barred individual investors (i.e. natural persons) from participating in the nation’s private markets unless they were “accredited … Read more
The Positive Side of a Pandemic
April 6, 2020
This blog entry deviates from my normal discussion regarding legal developments in entrepreneurialism and in venture capital and private equity sectors. With the COVID-19 pandemic, we are not living in normal times. Instead, it is my hope that this entry simply encourages you, by reminding you, the reader, that you … Read more
Corporate Transparency Act of 2019
March 4, 2020
On October 22, 2019, the U.S. House of Representatives passed the Corporate Transparency Act of 2019 (H.R. 2513) (the “Act”). H.R. 2513 was sponsored by Rep. Carolyn B. Maloney (D-NY). If it becomes law, the Act requires U.S. corporations and LLCs (“Covered Companies”) to file a form with the Treasury … Read more
LLCs are not always Bullet Proof (Part II)
June 4, 2019
As discussed in our previous post, LLCs are statutorily designed to protect its members from personal liability for the business entity’s debts and obligations. So long as the LLC has been properly formed and properly maintained, that protection will remain in place. But when not properly formed or maintained, it … Read more
Equal Access and Opportunity Initiative
April 23, 2019
Investment in venture capital and private equity (vc/pe) sectors is singularly the most fluid path to the creation and growth of generational wealth in the United States. Last year, buyout volume in private equity alone exceeded $380 billion. (Source: Harvard Law School’s 2018 Private Equity Year in Review). Yet, many … Read more
Portfolio Company Litigation Risk Assessment
March 13, 2019
Despite the limited liability and organizational protections of a limited partnership structure, private equity firms are routinely sued for acts and omissions committed by its portfolio companies. Mitigating that risk can mean the difference between a company making a profit or experiencing a loss, and, as such, affects a private … Read more