What are blue sky laws and do I have to worry about them?
Blue sky laws are the state securities laws that govern the offer and sale of securities, including equity and debt of start-up companies. The laws generally apply to the offer and sale of securities to the residents of a given state. Before beginning efforts to raise capital, the business founders should consult an attorney to advise them on the available exemptions and the requirements of each state in which the company intends to offer its securities. Most states will permit offerings to a limited number of residents, but may impose information and filing requirements on the offer or. 10. Should I obtain director and officer insurance for my business? Director and officer insurance can be very comforting to your directors (especially if outside directors) and officers but can be expensive or even unavailable to new businesses. While the business is closely held, many of the concerns your directors and officers may have can be addressed by ensuring that the corporation is properly ca
