http://www.ericperkinslaw.com/index.php en eric@ericperkinslaw.com Copyright 2010 2010-09-09T15:02:22+00:00 http://www.ericperkinslaw.com/index.php/whats-new/post/richmond_earns_25000_as_no._3_best_tennis_town/ http://www.ericperkinslaw.com/index.php/whats-new/post/richmond_earns_25000_as_no._3_best_tennis_town/ The 2010 U.S. Open will be memorable for many reasons, and one of the highlights was representing the City of Richmond as the winner of the USTA's Best Tennis Town contest was announced in Arthur Ashe Stadium.  Richmond took home third place and $25,000, which will go a long way toward expanding QuickStart Tennis programming throughout the community.  City Council Vice President Ellen Robertson and Asst. Director, Dept. of Parks, Recreation and Community Facilities Roslyn Johnson were also on hand representing the City along with a significant group of Richmond tennis community VIPs.  This project provides a great example of what can be accomplished when people work together, as this was truly a collaborative effort involving all corners of the Richmond community, starting with the Richmond Tennis Association and including city government officials, business and civic leaders, the nonprofit community (Richmond Sports Backers, VCU, GRCC, University of Richmond, and others), and the public. Click on the link below for more highlights from the Best Tennis Town festivities. http://www.midatlantic.usta.com/richmond_places_3rd_in_best_tennis_town/    2010-09-09T15:02:22+00:00 http://www.ericperkinslaw.com/index.php/whats-new/post/perkins_selected_for_inclusion_in_2011_edition_of_best_lawyers_in_america/ http://www.ericperkinslaw.com/index.php/whats-new/post/perkins_selected_for_inclusion_in_2011_edition_of_best_lawyers_in_america/ Richmond business attorney Eric Perkins has been selected by his peers for inclusion in the 2011 edition of The Best Lawyers in America in the speciality area of franchise law, marking the second year in a row he has been selected for such distinction. 2010-08-25T19:30:07+00:00 http://www.ericperkinslaw.com/index.php/whats-new/post/irs_grants_one-time_relief_for_delinquent_nonprofit_organizations/ http://www.ericperkinslaw.com/index.php/whats-new/post/irs_grants_one-time_relief_for_delinquent_nonprofit_organizations/ Small nonprofit organizations at risk of losing their tax-exempt status because they failed to file required returns for 2007, 2008 and 2009 have been given one final chance at getting back into compliance by making the required Form 990 filing by October 15, 2010.  Click below to read the IRS press release: http://www.irs.gov/newsroom/article/0,,id=225959,00.html  The IRS has also posted a list of "at risk" exempt organizations in Virginia as a point of reference and guidance for the Virginia nonprofit community.  Click below to see the Virginia list: http://www.irs.gov/pub/irs-tege/va.pdf  2010-07-26T18:34:34+00:00 http://www.ericperkinslaw.com/index.php/whats-new/post/financial_reform_law_tweaks_reg._d_definition_of_accredited_investor/ http://www.ericperkinslaw.com/index.php/whats-new/post/financial_reform_law_tweaks_reg._d_definition_of_accredited_investor/ The Dodd-Frank Wall Street Reform and Consumer Protection Act (HR 4173) has been passed by the United States Congress and sent to the President for his signature.  Once signed into law, Regulation D sponsors and syndicators must take immediate action to update their offering documents to comply with the law's revision to the definition of "Accredited Investor," the target audience for most Regulation D private placements. In short, the revised definition of "Accredited Investor" now excludes the value of an individual's primary residence from the calculation of the $1,000,000 net worth test under Rule 501(a)(5). According to reports from the Real Estate Securities Investment Association, the SEC has indicated that this change will go into effect immediately upon President Obama’s signature of the bill. Therefore, Regulation D sponsors must take immediate action to update their offering documents, investor questionnaires, and subscription agreements to incorporate this new information.  This would apply to offerings currently in progress as well those planned for future release. Another change to Regulation D resulting from the financial reform law is to incorporate certain "bad boy" disqualifiers preventing certain issuers with a record of judgments against them from relying on Regulation D exemptions for their capital raising efforts.   Real Estate Syndications 2010-07-21T13:06:01+00:00 http://www.ericperkinslaw.com/index.php/whats-new/post/how_to_keep_the_lebron_james_of_your_business_from_jumping_ship/ http://www.ericperkinslaw.com/index.php/whats-new/post/how_to_keep_the_lebron_james_of_your_business_from_jumping_ship/ Every business--big or small--has one or more key employees considered "MVPs" by ownership.  As a business owner, how do you protect your business from having the Lebron James of your team from leaving you when you need them the most?  After all, most employees in Virginia are at-will employees who can leave (or be asked to leave) any time for any reason, right?  While that is certainly true, there are a variety of strategies a business owner can pursue to increase retention rates for key employees: 1.  Strategic use of written employment agreements with the "MVPs" of your business can provide a greater degree of certainty over the term of employment and the circumstances under which the employment relationship may be terminated.  The use of a written contract can help both parties better plan ahead for thr future and strengthen their relationship. 2.  Creative use of equity and "equity-like" compensation for key employees can significantly promote employee morale, increase loyalty, and effectively incentivize key employees by better aligning their interests with those of the company.  For owners who are apprehensive about diluting ownership and taking on a business partner, a phantom equity program can offer key employees the economic equivalent of ownership in the company without the associated legal rights of being an equity owner.  For an MVP whose motto is "just show me the money," a phantom equity program might be effective. 3.  Carefully drafted non-compete and non-solicitation agreements can encourage key employees to stay put (albeit in somewhat negative fashion) or at least limit the potential damage they can do to your business if they jump ship for a competitor. These are just a few ideas to consider, all of which should be tailored to the specific facts and circumstances of your situation and structured with assistance from legal and tax counsel.  Closely Held Businesses and Business Start-Ups 2010-07-20T01:57:12+00:00 http://www.ericperkinslaw.com/index.php/whats-new/post/help_richmond_win_2010_best_tennis_town_contest/ http://www.ericperkinslaw.com/index.php/whats-new/post/help_richmond_win_2010_best_tennis_town_contest/ Greetings All: Over the past few months, as Vice President of the Richmond Tennis Association, I spearheaded a collaborative effort on behalf of the City of Richmond to submit an entry into the 2010 Best Tennis Town in America contest sponsored by the USTA.  We provided a litany of information about tennis programs, facilities, and events that have made Richmond a a great tennis town for many years, including letters of support from the Mayor's office, President/CEO of Genworth Financial, one of the most successful franchisees in the McDonald's system, and other community supporters, as well as a four-minute video showcasing the passion our city has for tennis and its impact on our community.  Richmond was one of 82 cities across the nation to enter the contest, and we were notified a few days ago that Richmond was selected as one of the top ten finalists. The winner will be determined by online voting taking place now through July 26 (one vote per valid e-mail address) at www.besttennistown.com, and I am asking for your support by not only visiting the site and casting your votes, but sharing this information with your vast network of co-workers, clients, friends, family, acquaintances, and anyone else with a valid e-mail address and Internet access.  In addition to the "Best Tennis Town" title, the winning city will receive $100,000 to support its community tennis programs and facilities.   Thanks very much for your help...now let's go win this!  Vote for Richmond at www.besttennistown.com --Eric Perkins 2010-07-19T17:54:32+00:00 http://www.ericperkinslaw.com/index.php/whats-new/post/two_critical_lessons_entrepreneurs_and_business_executives_can_learn_from_h/ http://www.ericperkinslaw.com/index.php/whats-new/post/two_critical_lessons_entrepreneurs_and_business_executives_can_learn_from_h/ Here are a few helpful hints for any entrepreneur, business executive, or professional in the sports and entertainment industry pulled from several pending lawsuits initiated by pro wrestling legend and actor Terry Bollea, better known to the world as Hulk Hogan: 1.  Always Maintain Adequate Insurance.  Hogan, who was reportedly worth as much as $30 million a few years ago before a less than amicable divorce and a horrific car accident involving his son that left a young man permanently disabled, apparently only had $250,000 worth of liability insurance coverage at the time of his son's accident, according to a lawsuit he filed against his insurance agent for negligence.  Regardless of your net worth or the type of business you are in, maintaining reasonable types and amounts of insurance coverage is a critical part of any risk management strategy.  2.  Keep an Eye on Your Advisors.  Hogan is also suing a couple of his former attorneys for ringing up over $1 million in legal fees in connection with the fallout from his son's car accident, allegedly without telling him that his legal defense actually could have been provided per the terms of his existing insurance policies at no cost to him.  Professional athletes and entertainers are sometimes easy targets for being taken advantage of for a variety of reasons.  Regardless of the root cause of the problem, professionals cannot blindly delegate responsibility for their finances and business affairs to others, no matter how experienced, well-regarded, or well-meaning those advisors appear to be.  Trust, but verify, and never be hesitant to ask questions.  Once you start having suspicions about the people working for you, then it is generally time to make a change.    Closely Held Businesses and Business Start-Ups 2010-06-29T01:38:34+00:00 http://www.ericperkinslaw.com/index.php/whats-new/post/proposed_changes_to_reg._d_definition_of_accredited_investor/ http://www.ericperkinslaw.com/index.php/whats-new/post/proposed_changes_to_reg._d_definition_of_accredited_investor/ It seemed inevitable that the recent push for financial reform would reach Regulation D, the big question was how much of an impact would there be once the dust settled. At the moment, it appears Regulation D will remain intact in all material respects, with only modest revisions to the definition of "accredited investor" (interestingly, the SEC had proposed somewhat similar revisions a few years ago, but never promulgated them in final form). Here's a summary of what the latest proposed amendment does, with respect to the Reg D accredited investor definition: mandates an immediate change to the Rule 501(a) accredited investor definition for individual investors, to exclude the value of one's principal residence from the net worth threshold of $1 million; contemplates (but does not require) that the SEC may review the definition as a whole (including, presumably, the annual income requirements to adjust for inflation); and requires that there be no adjustments to any accredited investor definition that raise the net worth threshold in excess $1 million, less the value of one's principal residence, for a period of four years. Stay tuned to see what the final language in the bill looks like.  Real Estate Syndications 2010-06-05T01:17:53+00:00 http://www.ericperkinslaw.com/index.php/whats-new/post/form_990_relief_for_small_nonprofits_a_possibility/ http://www.ericperkinslaw.com/index.php/whats-new/post/form_990_relief_for_small_nonprofits_a_possibility/ According to the Pension Protection Act of 2006 and previous, unequivocal announcements from the IRS, nonprofits neglecting to file Form 990 (whichever of the three versions it was supposed to file) for three consecutive years automatically lost their tax-exempt status this week (at least those who operated on a calendar year basis for tax purposes), and the only way to cure the problem would be to file another Form 1023, pay the required filing fee, and start all over.  The IRS’s FAQ page states very clearly that this is statutory law.  No waivers, no appeals, no exceptions, no mea culpas.  But now, according to Doug Shulman, IRS Commissioner, the IRS is considering granting some measure of grace to small organizations, presumably those who were required to file Form 990-N (the e-postcard).  This would seemingly require an act of Congress to amend the 2006 law that imposed this strict requirement, but we will have to wait and see what transpires in the coming months.  In any event, the IRS does not anticipate starting to send notices (i.e., the bad news) to organizations that have lost their tax-exempt status until the end of the year. Nonprofit Organizations 2010-05-19T19:43:49+00:00 http://www.ericperkinslaw.com/index.php/whats-new/post/franchisors_continue_to_offer_concessions_to_attract_prospects/ http://www.ericperkinslaw.com/index.php/whats-new/post/franchisors_continue_to_offer_concessions_to_attract_prospects/ Many franchisors continue to have a tough time selling franchises and are offering discounts, financing assistance, no-royalty periods, and other creative concessions to attract prospective franchisees.  One recent example is Fantastic Sams, which just announced a significant reduction in its initial franchise fee.  Read more here:  The Salt Lake Tribune (Utah). Franchising 2010-05-19T19:36:43+00:00