Risk Management Blog

One of the more common areas of confusion that surrounds determining the legal name of debtors for input onto UCC Financing Statements involves the punctuation of business debtor names. Imagine a business that filled out their loan application as ABC Trucking Company, Inc. and has this version of their name printed on their letterhead and their business license, but their Articles of Incorporation list the name as A.B.C. Trucking Company,… >> READ MORE

Timing is critical when filing business entity documents . In many cases, proof of filing is a necessary step towards accomplishing other important tasks such as entering into contracts or opening a business bank account. Whether filing original formation documents or other papers related to the maintenance of a business entity, a rejected document can cost a filer time they can’t really afford to lose. There are many reasons why a filing… >> READ MORE

Most of us have heard that a large number of businesses choose to file their organizing paperwork in the State of Delaware. In fact, more than half of the corporations that make up the Fortune 500 are incorporated in Delaware. Why is that? Easy and Affordable The State of Delaware makes it easy and affordable to set up shop. The fees for filing organizing paperwork in the state are low compared to most other states and businesses that… >> READ MORE

In a recent blog post titled, “Ordering a Civil Litigation Search: 5 Pieces of Information Your Searcher Will Need From You,” we mentioned that when ordering a litigation search, your searcher will be expecting you to provide direction as to which specific court they should visit.  Several readers responded, saying that they could use some help figuring out what court to search. First Corporate Solutions cannot offer any legal advice… >> READ MORE

Conscientious searchers know that an exhaustive pre-funding due diligence investigation will include a search of court records for civil litigation involving their prospect. Not being attorneys however, many are unsure of what to order or what information they will need to provide to get the ball rolling. In addition to the search name, there are five basic pieces of information you will need to supply in order to secure a relevant and… >> READ MORE

Searching for the right party is imperative when coordinating due diligence search efforts. This may seem simple, but keep in mind that liens could be filed under business names, individual names, aliases or nicknames, even fictitious business names. So, how can you be sure you are searching for the right name? Here are a few pointers to get you on the right track: 1. Check corporate charters to determine the exact legal name before… >> READ MORE

According to the Uniform Commercial Code, a UCC Financing Statement is only effective if it gets the debtor name right. A UCC Financing Statement that fails to properly identify the debtor by their legal name will not offer the secured party priority status to collect should the debtor default or file for bankruptcy. The Code goes on to say that for registered business debtors, the name that should appear on a UCC Financing Statement… >> READ MORE

We here at First Corporate Solutions get a lot of inquiries about and requests for good standing certificates. Those of us in the public records industry interact with these documents all the time. Sometimes though, regular folks with no experience in corporate documents are told they need a good standing certificate and they feel lost and confused about what to do. As the title suggests, this week’s blog post aims to provide readers with… >> READ MORE

There are countless occasions in which a person could be asked to supply a certificate of good standing for their business, or where a lender or attorney acts to obtain one. Two of the most common scenarios are to register or qualify a company to transact business in another state, and to open a business banking account. A good standing certificate verifies that an entity is authorized to transact business in a given jurisdiction and… >> READ MORE

House Bill 265 w/HA1, HA3/Title 8 has been signed into effect by the Governor of Delaware. The bill is effective immediately, but the state is offering a grace period until July 1,2014 before enforcing the new tax rates. This Act increases the annual tax assessed on partnerships, limited partnerships and limited liability companies on file with the Secretary of State from $250 to $300 and increases the corporation franchise tax by $100… >> READ MORE