TweetFollow Us on Twitter

Feb 93 Editorial
Volume Number:9
Issue Number:2
Column Tag:The Editor's Page

Ah To Communicate

By Neil Ticktin, Editor-in-Chief

For as long as I can remember, readers of this magazine have asked for online areas to access information about the magazine, download files, and exchange ideas. We are proud to announce that Xplain Corp. (the publishers of MacTech Magazine) has made arrangements to have an online presence on CompuServe. Once this new area is active (probably by the time you read this), you’ll be able to type “GO MACTECHMAG” and you’ll be there.

The new vendor folder will include information about the magazine, important files such as our writer’s kit, a discussion area, and product information. If the discussion area is active enough, we’ll reprint your comments and questions.

New E-Mail Addresses - Use Them!

To help you get faster service, we now have a series of new electronic mail addresses. These new addresses reflect our new name as well as additional support. All told, we’ve gone from 4 addresses to 20! Please use them and throw away the old ones.

The new addresses are for AppleLink, CompuServe, Internet, America Online, and GEnie. Those of you who used our AppleLink address to send an Internet message, please use the new Internet addresses instead. It is a little known fact that AppleLink charges 50¢ per Internet message (in each direction).

Ask Us Questions, Give us Feedback

Since we were so busy this month, David was kind enough to pick up the slack for me and write a bit more. As you may know, David is a capable tax attorney. We would like to have the magazine take advantage of David’s knowledge, but we need to know what questions you would like to have answered. So here’s an open invitation to ask any of us, including David, about issues you wonder about.

Most of you like the Tips and Tidbits section. Now, we’ve changed the compensation for tips printed from a credit to a cash payment. This is your area, so send us tips. In fact, if you ask DTS a question, send in the question and the answer as a tip as well.

CD-ROM Update

By the time you read this, the new All of MacTech Magazine CD-ROM™ Volumes 1-8 will be shipping. This new CD is the best that we’ve ever produced. It incorporates all the feedback that we’ve received about the last CD.

As of this writing, Symantec is now shipping a much improved THINK™ Reference 2.0. Not only does this new version include Volumes 1-6 of Inside Macintosh, it has new features as well. The best part is that this and On Location™ 2.0 are both included on the CD. See page 52 for more information.

Upcoming Topics

For the last couple of months, we’ve been talking about changes in the magazine and new products and services. Next month, we will return to more traditional editorials. In the March issue, Don Bresee (our Technical Editor), Ken Gladstone (our new Technical Editor), and I will cover Macworld Expo/San Francisco from a developer’s point of view.

As the year goes on, we’ll be covering topics such as Bedrock, MacApp, C++, scripting, HyperCard, databasing and more. The more you tell us what you want to hear about, the better the chance that it will happen.

The Publisher's Column

By David Williams, Publisher

The end of 1992 was completely overwhelming. In all of the excitement of changing the name of the magazine and preparing the new CD-ROM and for Macworld Expo, we went on a buying binge that resulted in a new show booth, two Duo 230’s, a IIci 5/80, and a 486/33 file server. So after all of this and a number of other purchases, we were penniless, but fully equipped. Basically, for about a month, we spent like drunks. What’s most surprising about this is that Neil and I are in complete agreement on everything we bought for the company. I suspect that he would have preferred that the money I spent on my new stereo stuff and 4WD be contributed to the company for computer equipment, but he isn’t unreasonable enough to actually expect it.....OK, it’s close, he reeeaaally wants a 950.

What all of this brings to mind is the business decision-making process and how legal entities effect it. Both Neil and I spent, but where did the authority lie to decide to spend? Our little buying spree brings up the issue of legal authority in a joint enterprise. In actual fact, Neil and I never had to confront the issue because we do work closely and we are in agreement, but at the precise moment when disagreement occurs, most business teams have little or no clear idea of who is really in charge, and how a dispute is resolved. The answer, of course, lies in the choice of business entity.

The last article I wrote on this topic, in the November/December issue, focused on the legal aspects of proprietorships and partnerships, which are general liability entities with little legal management structure. As we saw then, any partner has the authority to bind a general partnership to a course of action, such as buying equipment. In any of the limited liability entities, management authority is legally controlled. In other words, the law dictates a structure of decision-making and power, while providing limited liability for those sufficiently outside that structure.

The limited liability entities are: limited partnerships, S corporations, and C corporations. What makes these entities so different from the general liability entities is that in every case, the grant of limited liability comes from the state government. In other words, rather than just agree amongst yourselves, you apply to the state to form the entity, and for a price, the state grants a limitation on liability. The price takes two forms. First, there is usually a tax or at least an annual filing fee to keep the entity alive. Second, there are statutory restrictions on structure and ongoing documentary requirements to maintain the liability shield. To form the entity, you have to have a fairly complete set of documents that describe most of the relationships between the players involved. A limited partnership does not provide a complete shield, while both types of corporation generally do. On the other hand, a limited partnership is usually cheaper to set up and easier to maintain than a corporation.

In a limited partnership, any general partner has full management authority, but no limited partners do. Liability falls in exactly the same pattern, only the general partners have joint and several liability for everything that goes on. Most states require at least annual reporting to the limited partners and that the general partners act in the limited partner’s best interests. A limited partnership files a form 1065, just like a general partnership, in which the tax attributes of the partnership’s activity are apportioned out to the partners based on their ownership percentages. One of the most powerful advantages of a partnership over a corporation is the ability to specially allocate certain attributes to certain partners and not to others, and to allocate based on other percentages than ownership. If any of these complex methods of allocation are used, there are very complex tax requirements that must be met else the allocation will be disregarded for tax purposes, so consult a competent tax advisor.

Corporations represent the most complete liability shield that states are willing to sell, and require the highest price. Usually, an attorney is required to form the corporation, and there is a substantial annual fee or tax to pay. An S corporation is one that has elected to be taxed as a partnership for federal tax purposes (most states have comparable elections, but there is always at least an annual fee), and files form 1120S, while a C corporation pays corporate tax on its net income and files a form 1120. The corporate form of business is exacting, and failure to meet any of the numerous annual documentation requirements such as minutes of required meetings and resolutions can lead to a collapse of the shield.

A corporation is ultimately controlled by its voting shareholders. Note that it is possible to have non-voting shares, which have no ongoing say in the business at all. The shareholders meet at least once per year for the purpose of electing a board of directors. The directors then meet to appoint the officers, such as president, who run the company. Decision-making is entirely formalized and is determined by the authority granted to the officers in the bylaws of the corporation. In other words, in a corporation, most questions of final authority and ultimate responsibility are answered during formation.

As should be obvious, this is a very simple treatment of a very complex subject. The purpose here was to provide a starting point for discussions with your attorneys and accountants, rather than to allow you to make the decision on your own. Most important, for every concept that I’ve touched on, there are ten that I’ve excluded which can be critical in a particular case.

For Neil and I, here in our S corporation, there is no question that the final authority over spending lies with Andrea, our Controller, who has the checkbook. Which is good because without Andrea to stop us, we’d equip ourselves right out of business. So, for Andrea, who now has only a few days left to pay for all of this new stuff, please keep those subscriptions coming!

 

Community Search:
MacTech Search:

Software Updates via MacUpdate

Spotify 1.0.44.100. - Stream music, crea...
Spotify is a streaming music service that gives you on-demand access to millions of songs. Whether you like driving rock, silky R&B, or grandiose classical music, Spotify's massive catalogue puts... Read more
Microsoft OneNote 15.29 - Free digital n...
OneNote is your very own digital notebook. With OneNote, you can capture that flash of genius, that moment of inspiration, or that list of errands that's too important to forget. Whether you're at... Read more
WALTR 2 2.0.8 - $39.95
WALTR 2 helps you wirelessly drag-and-drop any music, ringtones, videos, PDF, and ePub files onto your iPhone, iPad, or iPod without iTunes. It is the second major version of Softorino's critically-... Read more
Dropbox 16.3.27 - Cloud backup and synch...
Dropbox is an application that creates a special Finder folder that automatically syncs online and between your computers. It allows you to both backup files and keep them up-to-date between systems... Read more
EtreCheck 3.1.5 - For troubleshooting yo...
EtreCheck is an app that displays the important details of your system configuration and allow you to copy that information to the Clipboard. It is meant to be used with Apple Support Communities to... Read more
Carbon Copy Cloner 4.1.12 - Easy-to-use...
Carbon Copy Cloner backups are better than ordinary backups. Suppose the unthinkable happens while you're under deadline to finish a project: your Mac is unresponsive and all you hear is an ominous,... Read more
VueScan 9.5.62 - Scanner software with a...
VueScan is a scanning program that works with most high-quality flatbed and film scanners to produce scans that have excellent color fidelity and color balance. VueScan is easy to use, and has... Read more
SpamSieve 2.9.27 - Robust spam filter fo...
SpamSieve is a robust spam filter for major email clients that uses powerful Bayesian spam filtering. SpamSieve understands what your spam looks like in order to block it all, but also learns what... Read more
Fantastical 2.3.2 - Create calendar even...
Fantastical 2 is the Mac calendar you'll actually enjoy using. Creating an event with Fantastical is quick, easy, and fun: Open Fantastical with a single click or keystroke Type in your event... Read more
PCalc 4.4.4 - Full-featured scientific c...
PCalc is a full-featured, scriptable scientific calculator with support for hexadecimal, octal, and binary calculations, as well as an RPN mode, programmable functions, and an extensive set of unit... Read more

Latest Forum Discussions

See All

Track Santa with these three festive app...
Christmas is fast approaching and that means it's time to prepare for Santa's yearly pilgrimage around the globe. Christmas Eve is an exciting time as parents help their kids get ready to welcome Santa. You've got the cookies and milk all planned... | Read more »
Galaxy on Fire 3 and four other fantasti...
Galaxy on Fire 3 - Manticore brings the series back for another round of daring space battles. It's familiar territory for folks who are familiar with the franchise. If you've beaten the game and are looking to broaden your horizons, might we... | Read more »
The best apps for your holiday gift exch...
What's that, you say? You still haven't started your holiday shopping? Don't beat yourself up over it -- a lot of people have been putting it off, too. It's become easier and easier to procrastinate gift shopping thanks to a number of apps that... | Read more »
Toca Hair Salon 3 (Education)
Toca Hair Salon 3 1.0 Device: iOS Universal Category: Education Price: $2.99, Version: 1.0 (iTunes) Description: | Read more »
Winter comes to Darkwood as Seekers Note...
MyTona, based in the chilly Siberian city of Yakutsk, has brought a little festive fun to its hidden object game Seekers Notes: Hidden Mystery. The Christmas update introduces some new inhabitants to players, and with them a chance to win plenty of... | Read more »
Bully: Anniversary Edition (Games)
Bully: Anniversary Edition 1.03.1 Device: iOS Universal Category: Games Price: $6.99, Version: 1.03.1 (iTunes) Description: *** PLEASE NOTE: This game is officially supported on the following devices: iPhone 5 and newer, iPod Touch... | Read more »
PINE GROVE (Games)
PINE GROVE 1.0 Device: iOS Universal Category: Games Price: $1.99, Version: 1.0 (iTunes) Description: A pine grove where there are no footsteps of people due to continuous missing cases. The case is still unsolved and nothing has... | Read more »
Niantic teases new Pokémon announcement...
After rumors started swirling yesterday, it turns out there is an official Pokémon GO update on its way. We’ll find out what’s in store for us and our growing Pokémon collections tomorrow during the Starbucks event, but Niantic will be revealing... | Read more »
3 reasons why Nicki Minaj: The Empire is...
Nicki Minaj is as business-savvy as she is musically talented and she’s proved that by launching her own game. Designed by Glu, purveyors of other fine celebrity games like cult favorite Kim Kardashian: Hollywood, Nicki Minaj: The Empire launched... | Read more »
Clash of Clans is getting its own animat...
Riding on its unending wave of fame and success, Clash of Clans is getting an animated web series based on its Clash-A-Rama animated shorts.As opposed to the current shorts' 60 second run time, the new and improved Clash-A-Rama will be comprised of... | Read more »

Price Scanner via MacPrices.net

Never Settle for Low Performing Wifi With iOS...
AppYogi Software has announced the release of WiFi Signal Strength Status App 1.0, the company’s new utility developed exclusively for macOS. WiFi Signal Strength Status App features a unique, single... Read more
New 2016 13-inch Touch Bar MacBook Pros in st...
B&H Photo has stock of new 2016 Apple 13″ Touch Bar MacBook Pro models, each including free shipping plus NY sales tax only: - 13″ 2.9GHz/512GB Touch Bar MacBook Pro Space Gray: $1999 - 13″ 2.... Read more
New 2016 15″ Touch Bar MacBook Pros in stock...
B&H Photo has new 2016 Apple 15″ Touch Bar MacBook Pro models in stock today including free shipping plus NY sales tax only: - 15″ 2.7GHz Touch Bar MacBook Pro Space Gray: $2799 - 15″ 2.7GHz... Read more
DietSensor App Targeting Diabetes and Obesity...
DietSensor, Inc., a developer of smart food and nutrition applications designed to fight diabetes and obesity and help improve overall fitness, has announced the launch of its DietSensor app for... Read more
Holiday 2016 13-inch 2.0GHz MacBook Pro sales...
B&H has the non-Touch Bar 13″ MacBook Pros in stock today for $50-$100 off MSRP. Shipping is free, and B&H charges NY sales tax only: - 13″ 2.0GHz MacBook Pro Space Gray (MLL42LL/A): $1449 $... Read more
Holiday sale: Apple TVs for $51-$40 off MSRP,...
Best Buy has dropped their price on the 64GB Apple TV to $159.99 including free shipping. That’s $40 off MSRP. 32GB Apple TVs are on sale right now for $98 on Sams Club’s online store. That’s $51 off... Read more
12-inch Retina MacBooks, Apple refurbished, n...
Apple has restocked a full line of Certified Refurbished 2016 12″ Retina MacBooks, now available for $200-$260 off MSRP. Refurbished 2015 models are available starting at $929. Apple will include a... Read more
Holiday sale: 12-inch Retina MacBook for $100...
B&H has 12″ Retina MacBooks on sale for $100 off MSRP as part of their Holiday sale. Shipping is free, and B&H charges NY sales tax only: - 12″ 1.1GHz Space Gray Retina MacBook: $1199 $100... Read more
Apple refurbished 13-inch MacBook Airs availa...
Apple has Certified Refurbished 13″ MacBook Airs available starting at $849. An Apple one-year warranty is included with each MacBook, and shipping is free: - 13″ 1.6GHz/8GB/128GB MacBook Air: $849 $... Read more
Apple refurbished iMacs available for up to $...
Apple has Certified Refurbished 2015 21″ & 27″ iMacs available for up to $350 off MSRP. Apple’s one-year warranty is standard, and shipping is free. The following models are available: - 21″ 3.... Read more

Jobs Board

*Apple* Retail - Multiple Positions - Apple,...
Job Description: Sales Specialist - Retail Customer Service and Sales Transform Apple Store visitors into loyal Apple customers. When customers enter the store, Read more
US- *Apple* Store Leader Program - Apple (Un...
…Summary Learn and grow as you explore the art of leadership at the Apple Store. You'll master our retail business inside and out through training, hands-on Read more
Automotive Detailer - *Apple* Used Autos -...
We are currently conductinginterviews and will be accepting applications for a part-time detailer. Apple Used Autos is a great place to work andstart a career. We Read more
*Apple* Retail - Multiple Positions - Apple,...
Job Description: Sales Specialist - Retail Customer Service and Sales Transform Apple Store visitors into loyal Apple customers. When customers enter the store, Read more
*Apple* Retail - Multiple Positions- Trumbul...
Sales Specialist - Retail Customer Service and Sales Transform Apple Store visitors into loyal Apple customers. When customers enter the store, you're also the Read more
All contents are Copyright 1984-2011 by Xplain Corporation. All rights reserved. Theme designed by Icreon.