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Biz Tek Today: “Sweat Equity”

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The article below on changing the mindset from employee to owner got me thinking about recent situations with employees and equity. Many employees use the term “sweat equity” as a justification for their right to a stake in the business. I find the sweat equity argument not persuasive. Every business owner that I represent compensates their employees fairly and fully. In turn, the employees work hard and do good work. As a result, the relationship works and the business proceeds. However, for an employee to move to ownership/equity, the employee must change his or her mindset from that of a self-reflecting viewpoint to a firm viewpoint. Equity is not usually something that is earned through hard work alone. Equity and the partnership that comes along with such requires the participants to have a meeting of the minds in multiple areas.


Entrepreneurship

8 Ways to Change Your Thinking From Employee to Owner
Entrepreneur
One of the biggest challenges in changing your lifestyle from an employee to an entrepreneur is focusing on maintaining the right ownership elements, instead of having a boss who sets the business goals and provides performance feedback…READ MORE

The Entrepreneur’s 5 Pillars of Success
Huffington Post
As entrepreneurs, we know we must deliver tremendous value to our clients and our prospective clients. The more value we can give them, the more value we create for ourselves and our stakeholders. This is the enlightened self-interest of capitalism…READ MORE

What Is An Entrepreneur: How To Explain It To Your Family
Small Business Trends
Raise your hand if you’ve had your loved ones scratch their heads and say: “What exactly is it that you do?” It seems that having a job is easier to wrap their heads around, but you being an entrepreneur simply confounds them…READ MORE

What The Uncertain Future Of Obamacare Means For Entrepreneurs
Fast Company
Earlier this year, Rich Robinson was entertaining two very different job offers. The first, at a large company, would mean stability and guaranteed health insurance. The other, at an early-stage startup, was a far more risky but exciting option to build a team from the ground up….READ MORE

3 Questions You Need To Ask Yourself Before Becoming An Entrepreneur
Forbes
Starting a business will always be trade-off for entrepreneurs. The key trade-off usually is leaving a secure job for an uncertain future with uncertain pay. It’s a scary step – too scary, for most…READ MORE

 

Technology

Tesla obtains patent for charging metal-air battery technology that could enable longer range
Electrek
A few years back, there was a lot of talk about Tesla potentially using a metal-air/li-ion hybrid powertrain to enable a longer range and faster charging in future vehicles. There’s no doubt that the company worked on such a system since they applied for several patents related to the tech…READ MORE

7 Recommended Technologies for Small Business Ventures
B2C
In this competitive world, any business must implement technology to fasten up its services and connect with customers on time. Such an implementation is considered the key to survive in this competitive world…READ MORE

10 Tips to Make More Sales in Your Small Business
Small Business Trends
Technology has made a mark on so many different areas of business — including sales. There are plenty of tech tools and techniques you can use to gain more customers and make more money.If you want to make more sales for your small business, you can take a look at some of the tips from members of our small business community…READ MORE

 

Transactions

Selling Your Business? Be Aware of Three Prominent Deal Killers
ETF Trends
When working with business owners interested in selling to a third party, Exit Planning Advisors need to do three things: (1) help owners set goals that will allow them to determine whether an offer from a third party is “good” or “bad,” (2) educate them about the sale process, and (3) prepare their companies for sale….READ MORE

Middle Market M&A: 2016 And Where We Are At Right Now
Forbes
So, what happened in middle market mergers and acquisitions in 2016? The folks at Merger Market have been kind enough to share some statistical data with us. If we remember, 2014 was an eye-popping year. Not just for the middle market, it was a big year for venture capital as well…READ MORE

Selling a Small Business? Avoid These Mistakes
The Wall Street Journal
Small-business owners looking to sell face a number of pitfalls. Among them: not planning for the day when the business can’t function without their expertise. Nina Kaufman, a business lawyer and founder of Business Exponential, also says business owners are often overly optimistic…READ MORE

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Biz Tek Today (BTT), is an online resource for entrepreneurs. BTT recognizes that you are a busy leader in business and that finding time to identify and read relevant news for your business is challenging. BTT seeks to lessen this burden by regularly gathering the best of the best news articles from a host of national media and industry sources and delivering them to you in one convenient email.

 

Michael N. Mercurio, Chair Business Law and Transactions
mmercurio@offitkurman.com | 301.575.0332
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©2017 Michael N. Mercurio, Offit Kurman, Attorneys At Law. All rights