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California Business Formation Questions & Answers
1 Answer | Asked in Business Formation and Business Law for California on
Q: Starting an LLC for home renovation in CA without a license. Can employee's license suffice?

I am looking to start an LLC in home renovation in California. I currently do not have a license or permit, but I will not be performing the work myself; it will be done by an experienced employee under my business. Do I need to get my business licensed to avoid penalties, or can the employee be... View More

James L. Arrasmith
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answered on Jun 11, 2025

You can’t simply run a home‐renovation company in California without your business holding the proper contractor’s license, even if a qualified employee does the actual work. Under the California Contractors State License Board rules, the license must be issued to the legal entity that signs... View More

1 Answer | Asked in Business Formation, Business Law and Personal Injury for California on
Q: What liability forms do I need for a wellness business with EWOT & Molecular Hydrogen Therapy in CA?

I am in the planning stages of starting a wellness business that will offer services like Exercise with Oxygen Therapy (EWOT) and Molecular Hydrogen Therapy. I'm looking for advice on the types of liability forms, waivers, or hold harmless agreements I should have for friends initially using... View More

James L. Arrasmith
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answered on Jun 3, 2025

When you start offering EWOT and Molecular Hydrogen Therapy, you’ll want a general liability waiver that outlines the inherent risks of each service and makes it clear that participants assume those risks. Include an informed consent form explaining how EWOT and H₂ therapy work, any potential... View More

2 Answers | Asked in Trademark, Business Formation, Intellectual Property and Business Law for California on
Q: Can I use the name 'Baybreak' for my business in a different industry?

I want to use the name 'Baybreak' for my business, which operates in a different industry from an existing business with the same name. Is it legally permissible for me to use this name, given that there are no clear trademark permissions?

David Aldrich
David Aldrich
answered on May 30, 2025

Even without a trademark registration, someone can still acquire certain trademark rights based on use of the mark in commerce. Whether it is ok for you to use the same mark will depend on a number of factors, including how close your goods/services are to the goods/services of the other party... View More

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1 Answer | Asked in Business Formation, Trademark, Business Law and Intellectual Property for California on
Q: Can I use the Cannon Films logo for my production company and merchandise in the US?

I am forming a new production company called Cannon Legacy, Inc., and I want to use the Cannon Films logo in conjunction with my filmmaking platform, Cannon Legacy's Echo Genesis X. I would like to sell merchandise with the logo on it. The logo is registered in Canada, where MGM still owns the... View More

James L. Arrasmith
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answered on May 27, 2025

Using an abandoned U.S. registration or an unregistered version of the Cannon Films logo doesn’t free you from liability, because MGM inherited the Cannon library and maintains common-law rights through ongoing use in commerce . When you place that logo on films, platforms, or merchandise,... View More

1 Answer | Asked in Business Formation, Contracts and Business Law for California on
Q: Can I use my business name for breeding contracts to protect my personal information?

I would like to know if I can use my business name for breeding contracts without including my personal legal name. My business is registered only in my state, and I want to maintain privacy over my personal information.

James L. Arrasmith
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answered on May 27, 2025

You can generally enter into breeding agreements using the legal name of your registered business rather than your personal name, as long as your business is an entity such as an LLC or corporation. When you sign, you’d do so as the authorized representative “for” your business, which keeps... View More

1 Answer | Asked in Contracts, Tax Law, Business Formation and Business Law for California on
Q: Are there any "behind the scene" fees for operating a Wyoming LLC in California.

Hello, My partner and I are looking to form an LLC in Wyoming while living in California. This would be a totally online, e-commerce storefront with no inventory in California. We were looking for potential legal risks specific to e-commerce, any behind the scene fees, and filing fees regarding... View More

James L. Arrasmith
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answered on May 22, 2025

Yes, there are significant "behind the scene" fees when operating a Wyoming LLC while physically based in California. Even with an online e-commerce business and no inventory in California, your Wyoming LLC would need to register as a "foreign LLC" in California because... View More

Q: How to address lockout and fraud issues with ex-partner in S corp?

I am dealing with a complex legal situation involving my ex-partner in our S corp business. Over the past 5 years, court proceedings have been delayed, during which my ex-partner has unjustly locked me out of the business and all banking operations. Despite the company's substantial annual... View More

James L. Arrasmith
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answered on May 12, 2025

Your situation involves multiple serious legal issues: business lockout, potential financial fraud, inadequate court-ordered support, and possible ethical violations by opposing counsel. Given the complexity and the significant revenue involved, you need a business litigation attorney with... View More

1 Answer | Asked in Trademark, Business Formation, Intellectual Property and Business Law for California on
Q: Is "BVCKLVSH" trademark legally safe for my lash brand and business name?

I'm planning to use the name "BVCKLVSH" as the business name and trademark for my new lash brand, focusing on high-end eyelash products and accessories with a dark glam, rebellious, fashion-forward aesthetic. I conducted searches in the USPTO database and beyond, finding no exact... View More

James L. Arrasmith
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answered on May 8, 2025

Your proposed mark "BVCKLVSH" presents both strengths and potential concerns from a trademark perspective. The USPTO employs a balancing test to evaluate likelihood of confusion, considering the similarity between marks and the relatedness of the goods/services. While you've found no... View More

1 Answer | Asked in Business Formation, Gov & Administrative Law and Business Law for California on
Q: Naming a nursing corporation in California: guidelines and regulations?

I am planning to form a nursing corporation in California and intend to use the phrase "nursing" in the business name. Are there specific regulations or guidelines from the California Board of Nursing that I need to follow regarding the naming of my corporation? Also, are there any... View More

James L. Arrasmith
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answered on May 7, 2025

When naming your nursing corporation in California, you must follow specific requirements established by state regulations. The name of your nursing corporation must contain the words "nursing" or "registered nursing," along with wording or abbreviations that indicate corporate... View More

2 Answers | Asked in Business Formation, Family Law, Gov & Administrative Law and Business Law for California on
Q: What is the minimal age for a minor to own a business in California?

In California, what is the minimal age for a minor to be an owner in a business partnership? The minor in question is the child of a recently deceased former owner, and their involvement would be in a food truck business subject to mobile vendor and food safety regulations. Additionally, the minor... View More

Pavel Kolmogorov
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answered on Apr 25, 2025

In California, there is no explicit minimum age requirement for a minor to own an interest in a business, including a partnership. However, because minors generally lack legal capacity, any contractual commitments or legal agreements involving minors typically require approval and oversight by a... View More

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1 Answer | Asked in Business Formation and Business Law for California on
Q: How do I select a unique LLC name in CA and NV?

I want to know the process for selecting a unique name for my LLC, especially if the name I initially wanted is already taken. I'm interested in how this process works specifically in California and Nevada.

James L. Arrasmith
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answered on Apr 19, 2025

To select a unique LLC name in California and Nevada, you must first check availability through each state's business entity database. In California, you can use the California Business Search tool or call the Secretary of State at 916-653-3794 to verify availability. For Nevada, utilize the... View More

1 Answer | Asked in Trademark, Business Formation, Intellectual Property and Business Law for California on
Q: Can I use "Bāovéa" for my skincare company, despite similar sounding names?

I'm planning to start a skincare company using the name "Bāovéa" (meaning baobab tree and vital/life) and will trademark it. However, I've found existing companies named "Biovea," primarily in the health products industry, and "Baove," a Chinese company... View More

James L. Arrasmith
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answered on Apr 8, 2025

Using the name "Bāovéa" for your skincare company could present some risks, especially considering the similar names of "Biovea" and "Baove." The key issue here is the potential for confusion between the names. If people believe your products are associated with or... View More

2 Answers | Asked in Business Formation and Business Law for California on
Q: Do I need to amend my LLC agreement and notify California after manager change?

I am currently considering a change in the management of my LLC (partnership) agreement where the manager changes from my mom, who is a partner, to myself. The LLC agreement has not been updated since it was originally drafted, but it does contain clauses specifying procedures for notifying changes... View More

Pavel Kolmogorov
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answered on Apr 2, 2025

Regarding the LLC agreement amendment, I would advise to review the agreement and follow the procedures outlined there for management changes. Even if an amendment isn’t required, it’s good practice to document the decision in writing (e.g., through a resolution or updated management... View More

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1 Answer | Asked in Business Law, Business Formation and Real Estate Law for California on
Q: Can a dissolved LLC in CA be sued after 5 years?

I am wondering if a properly dissolved LLC in California, which operated as a retail business and sold its real estate and business before dissolving, can still be sued 5 years after its dissolution. There have been no legal claims yet, and the LLC was officially dissolved in 2020. Is there a... View More

James L. Arrasmith
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answered on Mar 27, 2025

When you dissolve an LLC in California, you aren't immediately free from all potential legal claims. Under California law, there is generally a 4-year statute of limitations for bringing claims against a dissolved LLC. Since your LLC was properly dissolved in 2020 and it's now been 5... View More

1 Answer | Asked in Business Formation and Business Law for California on
Q: Can I gift or sell my Sole Proprietorship to my wife?

I have an sp that had 8k in sales last year. I want to gift it to my wife so I am no longer receiving any income (so far it’s just been a loss). How do I do this and can she just register as a LLC once I gift to her?

James L. Arrasmith
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answered on Mar 25, 2025

You can transfer your sole proprietorship to your wife, but technically speaking, it's not the business entity itself you're transferring—it's the assets, operations, and goodwill. Since a sole proprietorship isn't legally separate from you as the owner, what you're... View More

2 Answers | Asked in Business Formation and Business Law for California on
Q: As a mobile notary in California, do I need to form an LLC or business entity?

I live in California and am becoming a mobile notary and plan to expand into loan signing services. I'm wondering if I need to form an LLC or another type of business entity for my notary services or if there's anything specific to consider for liability or business structure when... View More

Pavel Kolmogorov
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answered on Mar 21, 2025

You can legally operate as a mobile notary and loan signing agent as a sole proprietor without forming a business entity. However, forming an LLC could offer significant advantages, particularly for liability protection and professional credibility, which are especially relevant given your plans to... View More

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2 Answers | Asked in Business Formation and Business Law for California on
Q: Naming requirements for a professional corporation in California as a licensed counselor.

I am a licensed professional clinical counselor in California and I'm thinking of opening a professional corporation solely under my license. I plan to supervise registered counselors eventually. Are there specific words or terms that must be included in the company name, similar to how LMFTs... View More

Pavel Kolmogorov
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answered on Mar 21, 2025

There are indeed specific naming requirements you must follow under state law. The California Business and Professions Code, which governs professional clinical counselor corporations, mandates that the name of your corporation reflects its professional nature and purpose.

Specifically,...
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2 Answers | Asked in Business Formation, Business Law and Gov & Administrative Law for California on
Q: How to obtain a business license for direct cremation in Riverside County, CA?

I have already registered my business and I'm looking to obtain a business license for a direct cremation entity in Riverside County, CA. I need guidance on which agencies or departments to approach for the license, information on complying with local health and safety regulations, and help... View More

Pavel Kolmogorov
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answered on Mar 19, 2025

To obtain a business license for a direct cremation entity in Riverside County, California, you must apply to the Cemetery and Funeral Bureau, which oversees crematory licenses. Follow the link to submit your application online: https://cfb.ca.gov/licensee/app.shtml

Given crematories...
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1 Answer | Asked in Business Formation, Business Law and Contracts for California on
Q: How can I give my wife equal authority in my sole proprietorship?

I own a plumbing business as the sole proprietor, and my wife currently serves as the bookkeeper with limited decision-making power. I want to give her unlimited access and authority to control and sign documents, sharing equal access to all business dealings. What steps should I take to legally... View More

James L. Arrasmith
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answered on Mar 19, 2025

To give your wife equal authority in your sole proprietorship, you need to take a few legal and financial steps. Start by drafting a power of attorney (POA) that grants her the ability to sign contracts, make financial decisions, and handle business matters on your behalf. This document should... View More

4 Answers | Asked in Estate Planning, Business Formation and Business Law for California on
Q: How can my wife continue our business if I die as a sole proprietor?

What do I need to put in place to ensure my wife can continue to run our company business if I die? I am currently a sole proprietor contractor with no will yet, although I plan to have one soon. My wife already has power of attorney.

Julie King
Julie King
answered on Mar 18, 2025

There are a number of ways a person can take over another person's business, including through a Trust or Will, by incorporating or forming an LLC and having specific language in the legal documents, etc. The law in California is that anyone with "probatable" assets valued at more... View More

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