As the one-year anniversary of quarantining and remote working during COVID-19 comes to pass, one in four employees are still working remotely. In this new environment, people have had to come up with unique strategies to handle working remotely, entertaining and schooling kids from home and keeping their own mental health in check. GHJ employees are no different. Wh [...]

Co-Authored with Nishen Radia, Co-founder and Managing Partner, FocalPoint A longstanding feature of many private-equity business sales is called, “rollover equity.” Many financial buyers want some equity to remain in the hands of the sellers as partial consideration for a buyout for several reasons. With financial buyers making up a significant portion of the buyer [...]

It is hard to credit 2020 with any positive attributes. But in fact, we all learned so much. If there is anything to be applied in this new year, it is the importance of innovation. 2020 was filled with adversity and abrupt change, but we are now more than ever striving to #BeMore to define the future. With this commitment, we are proud and excited to announce our mo [...]

Also by Scott Ehrlich (Partner, Sklar Kirsh) In any transaction where a business changes hands, a buyer generally wants to make sure that there is no unpleasant surprise after making payment. Equally, a seller does not want to be concerned by a potential claim from the buyer after the sale. Therefore, various mechanisms have been developed to protect the parties in [...]

UPDATED ON 1/13/21 QUESTIONGHJ OBSERVATION Is forgiveness available for PPP-2 loans? Yes. The forgiveness calculation and process is similar for PPP-2 loans as for the first round of funding. Importantly, the use of funds is expanded to cover additional areas including operations expenses, property damage costs, supplier costs and worker protection expe [...]

Under the current law, and prior to Proposition 19 (Prop 19), a parent could transfer (a) a primary residence, regardless of value or (b) up to $1 million of assessed value of real property (other than primary residence; such as vacation home, rental property etc.) to their children without a reassessment of property base value. In other words, the property taxes woul [...]

Earlier this year the IRS issued Notice 2020-32 declaring their position that expenses paid with forgiven PPP funds would not be deductible for federal tax purposes. The Franchise Tax Board (FTB) has taken the same position for California tax purposes. While this was unwelcome news for taxpayers (and may have been contrary to lawmakers’ intentions), it left some open [...]

In the midst of the COVID-19 pandemic, many organizations are experiencing critical interruptions to operations, which in turn has impacted their ability to meet contractual obligations. Due to their inability to perform, businesses are asking if they can avoid a contractual breach by invoking what is known as a “force majeure clause to excuse performance temporarily [...]

After a series of deferrals, the new lease accounting standard is finally on the horizon for privately held companies and nonprofits. As its impact is significant, companies and organizations should become familiar with the new standard in advance. This blog will walk through key concepts and considerations for implementing this new lease accounting standard for lesse [...]

Throughout the various stages of the PPP stimulus package, the SBA has commented that borrowers of PPP funds of $2 million or more would be subject to additional scrutiny regarding their loan and forgiveness eligibility. In early November 2020, SBA circulated a draft questionnaire aimed at those borrowers and invited feedback and comments from the public. The question [...]