How to Set up Your Fashion Business, By Eric H. Milliken, Founder of Sutter Law, a San Francisco Business Law Firm.

How to Set up Your Fashion Business, By Eric H. Milliken, Founder of Sutter Law, a San Francisco Business Law Firm.

How to Set up Your Fashion Business, By Eric H. Milliken, Founder of Sutter Law, a San Francisco Business Law Firm. There is a wealth of information out there about tech startups in the bay area and deservingly so, San Francisco is the home of some of the most influential tech companies of our time. But San Francisco is also a hub of business in general, known just as well for its diversity of culture and ideas. A huge part of San Francisco is its great shopping and fashion. Walking around the city you will encounter every type of fashion including high end couture, effortless casual attire, amazing consignment, thrift shop finds, and wearable tech. This blog focuses on the intersection of these two huge business industries, fashion and startups, because the lean startup model isn’t just for tech. Starting a Business The first step in starting your fashion business is setting up an LLC or a corporation. These entities protect you from personal liability. LLC’s are preferred for smaller, or family run operations, they do not allow for the issuance of stock. Corporations are necessary if you want to seek investment from accredited investors. Corporations provide for the issuance of stock and can have different structures such as S corps, for smaller operations, C corps the general corporate setup, and B corps for those companies that support a public benefit. One notable B corp is Patagonia, a giant in the clothing industry and champion of the environment. Registering  a Doing Business As (d.b.a.) or Fictitious Business Name. If you would like to save money or want to bypass...
Intellectual Property Laws in the Fashion Industry. By Eric H. Milliken, Founder of Sutter Law, a San Francisco Business Law Firm.

Intellectual Property Laws in the Fashion Industry. By Eric H. Milliken, Founder of Sutter Law, a San Francisco Business Law Firm.

Intellectual Property Laws in the Fashion Industry. By Eric H. Milliken, Founder of Sutter Law, a San Francisco Business Law Firm. It is no secret that the fashion industry isn’t afforded many protections under intellectual property laws in the United States. But there is tension over what effect this has on the industry. On the one hand, there is the frustrated designer who feels that their art is being stolen by others and they have no incentive to create. On the other hand, there is the designer who has made their living copying elements of other designs and believes that ownership of intellectual property can have stifling effects on creativity.  This blog was inspired by a TEDx talk by Johanna Blakely which can be found here. Ms. Blakely believes that the fashion industry is thriving due to little intellectual property protection. Intellectual Property law governs creations of the mind. It is divided into three main categories patents, copyrights, and trademarks, which all aim to protect creator’s rights. Patents are awarded for inventions that are new (original) and useful (functioning or serving their purpose). In the fashion industry patents could be filed for wrinkle free or UV filtering fabrics. The legal usefulness of patents in the fashion industry is limited due to the difficulty to prove a something is completely novel. Copyrights are reserved for original pieces of art. However, if you ask any intellectual property attorney they will tell you that copyrights are not available for art or sculpture that has utility. Clothing is by definition utilitarian; it serves a function, mainly to cover us and protect us from...
How to Revive a Suspended California Corporation

How to Revive a Suspended California Corporation

How to Revive a Suspended California Corporation? By: Eric Milliken, Attorney at Law, Sutter Law, a San Francisco Business Attorney  So Your California Corporation Has Been Suspended? When a California corporation is suspended, the corporation has lost all of its rights and privileges and cannot legally operate. Technically, the corporation is required to close its doors, and to stop all business related activity. A suspended California corporation cannot sue, or defend, any action in court. In addition, a suspended California corporation that provides a service, or goods, to third parties while suspended may not be able to collect payment for such services and goods. For a suspended California corporation to once again achieve good standing, the California Corporation must be revived. Reasons Why a California Corporation Is Suspended Every corporation formed in California is registered with the California Secretary of State’s office, assigned a corporate identification number, and is legally required to file an annual Statement of Information of Officers and Directors with the California Secretary of State. In addition, every California Corporation is required to file an annual tax return with the Franchise Tax Board and to remit payment of $800 for the minimum franchise tax, even if the California Corporation didn’t engage in a single business activity. Either the California Secretary of State’s office and/or the Franchise Tax Board (FTB) can legally suspend a California corporation. The Secretary of State will suspend a California corporation if the corporation fails to timely file the required annual Statement of Information of Officers and Directors with the $25 filing fee. Failure to file the Statement of Information of Officers and...