Securities Blog

As a business executive of a publicly traded company, you are always looking for ways to inform the public about your company and the reasons they should become one of your customers. Using press releases is a common and effective way to get your information into the hands of people who will get it into…

You’ve heard the quote from Robert Frost’s 1914 poem, “Mending Wall,” that good fences make good neighbors. By the same principle in corporate business, good auditing committees make honest employees. Committees in corporate boards of directors are created to divide responsibilities so the full board can govern more effectively. Multiple committees focusing on different aspects…

Risk Metrics, at first glance, seems to be an oxymoron — two words used together with opposing meanings. Risk means uncertainty of an outcome, and metrics means measurable formulas to accurately predict outcomes. However, in business, Risk Metrics is the science of identifying potential risks to a business, evaluating the likelihood and impact on the…

In a publicly traded company, you are required by state corporation laws and regulations of the Securities and Exchange Commission (SEC) to keep your shareholders informed and to protect their rights by holding an annual shareholders meeting. The details of how that meeting is conducted and the reporting requirements are well defined in each state.…

As a company executive or board member, you have a responsibility to periodically report the financial condition of your company to your investors. To do that in a professional way, to be accurate, and to protect yourself against liability for mistakes or intentional misrepresentations, you have your outside auditors perform an audit and present the…

Business financing is significantly different than personal financing. As a person you can go to your bank and apply for a loan. The bank will review your credit score and history, verify your employment, then appraise the value of the collateral you are offering to secure the loan, before making a lending decision. When your…

Conducting due diligence is a common practice in the business and legal industries, but what is it and why is it considered necessary in establishing workable relationships? It is a comprehensive, systematic investigation of a business, investment, or legal partner to evaluate legal risks, verify financial data, and confirm operational realities before finalizing a deal.…

You received counsel from a business lawyer when you started your business, to draft the agreements, obtain the necessary licenses, and choose the right organizational structure. Now you are ready to expand your business to serve more customers and increase your profits. You are now an experienced businessman so you should be able to do…

If you are considering purchasing a business or a merger with another business, maybe you are thinking you can handle the whole transaction with one comprehensive contract. Something like Congress did with the One Big Beautiful Bill. Hold on. That is a bad idea for two main reasons. First, when the contract is completed and…

When business costs continue to rise, your first thought might be to look for expenses where you can make cuts to keep your bottom line profitable. This is a common scenario for all businesses, whether you are managing a startup or a public company. The choices are usually hard, because cost cutting can bring negative…