Proposed House Bills 674 and 694, which would give local government entities the capability to temporarily grant property tax breaks to companies that shift their operations to the state, passed the Louisiana State Senate recently. Some of the basic requirements for the property tax to be an option include having to hire at least 50 new, full-time positions as well as having to spend $25 million on the commercial real estate on which the building is located.
Mergers and acquisitions are undoubtedly complicated ordeals, and the recent news on Louisiana Farm Bureau Mutual Insurance Co.'s merger with Arkansas Farm Bureau, Colorado Farm Bureau Mutual Insurance Co. and the South Carolina Farm Bureau Mutual Insurance Co. only provides more proof. While the goal of the merger is to create a larger and more flexible company, there are some bumps along the way: the Arkansas Farm Bureau's financial strength rating has been downgraded by a credit ratings agency. As for the Louisiana Farm Bureau, its rating remained the same.
If you are considering starting a business in Louisiana, you may want to look at the Lafayette area. Why? Forbes recently released a list of the American cities that top the country in job growth and Lafayette was ranked first in mid-sized cities and fourth overall. In order to determine the cities to make the listing, Forbes used employment data ranging back to 2000 and considered other factors which contribute to both mid and long-term growth.
For those considering acquiring a new business or becoming business partners with another business, the potential for growth is likely one of the many benefits of the merger. Yet there are many important questions that need to be asked to ensure that the merger is a success in both the short and long term, including the potential for business litigation. Ensuring that both companies can complement or work with each other in a stable relationship is critical to ensuring the financial success of the venture. This is hopefully the case for the Louisiana Cookin' magazine and Hoffman Media.
While recent reports have come out showing a recovery in certain industries after the Deepwater Horizon oil spill disaster, some businesses in Louisiana that depend on the fishing industry are still reeling from the catastrophe. Citing poor public perception and the environmental consequences of the disaster, such as reduced numbers of fish and the continued presence of oil and tar balls on their beaches, the businesses owners in the area are not feeling the reported economic recovery. For them, the economic downturn is ongoing and their optimism is waning. A sale of business may be warranted.