#compliance
Compliance
Navigate regulatory compliance and maintain audit-ready financial records
FTC Bans Air AI From Selling Business Opportunities: What the $18M AI-Washing Case Means for Buyers
The FTC's March 2026 settlement permanently bans Air AI and its owners from marketing business opportunities after buyers lost up to $250,000 on exaggerated AI earnings claims. Here's what the $18 million judgment covers, how the Business Opportunity Rule's seven-day disclosure and Earnings Claim Statement protect buyers, and a practical checklist for vetting any AI-powered business pitch.
Garza-Laureles v. Lab Logistics: What a Medical Courier Lawsuit Teaches Every Small Business About Worker Misclassification
A 2026 FLSA class action, Garza-Laureles v. Lab Logistics LLC, alleges medical couriers were paid as 1099 contractors while the company set their schedules, routes, and uniforms. Here is the DOL's six-factor economic reality test, what misclassification costs — back overtime, doubled liquidated damages, and up to $25,000 per worker in California penalties — and a five-question self-check for small business owners.
Georgia's Dignity and Pay Act: What the End of Subminimum Wage Means for Employers of Disabled Workers
Georgia's Dignity and Pay Act requires Section 14(c) certificate holders to pay workers with disabilities at least half the federal minimum wage ($3.63/hour) starting July 1, 2026, and bans subminimum wages entirely after June 30, 2027. What certificate holders — sheltered workshops, community rehabilitation programs, and nonprofits — need to model in payroll budgets, grant contracts, and job costing before both wage steps hit.
Sale Barn Bookkeeping: How Livestock Auctions Must Handle Custodial Trust Accounts Under the Packers and Stockyards Act
Livestock auction markets are federal fiduciaries under the Packers and Stockyards Act — custodial accounts must be funded by the next business day, reimbursed in full within seven days, and reconciled monthly. This guide covers the chart of accounts a sale barn needs, how the required surety bond is calculated from sale volume, and why Beef Checkoff and brand-inspection fees must stay out of revenue.
MGA Bookkeeping: How to Account for Contingent Profit Commissions That Take Three Years to Settle
MGA profit commissions aren't calculated until 18–24 months after a policy year ends and don't finalize until the third anniversary. This guide covers accruing constrained estimates under ASC 606, keeping fiduciary premium trust accounts separate from operating funds, and a chart-of-accounts structure that keeps multi-year true-ups auditable.
Montgomery v. Caribe Transport: The Supreme Court Just Made Freight Brokers Liable for Negligent Carrier Hiring
On May 14, 2026, the Supreme Court ruled 9-0 in Montgomery v. Caribe Transport II that freight brokers can be sued under state negligence law for hiring unsafe motor carriers, ending FAAAA preemption as an early-dismissal defense. Here is what brokers and shippers should do about carrier vetting, documentation, and insurance coverage.
The NLRB Joint-Employer Standard Reverted in 2026: What It Means for Staffing, Franchise, and Subcontractor Arrangements
On February 25, 2026, the NLRB withdrew its 2023 joint-employer rule and reinstated the 2020 standard, which requires actual "substantial, direct, and immediate control" over eight essential employment terms. Here is what the reversal means for businesses using staffing agencies, franchise agreements, or subcontractors — and the practical steps to limit exposure.
North Korean 'Laptop Farm' Fraud: How Fake Remote Hires Infiltrated 100+ U.S. Companies — and the Red Flags to Check
Two U.S. nationals were sentenced to 108 and 92 months in federal prison for running a "laptop farm" that let North Korean IT workers pose as remote hires at more than 100 U.S. companies, funneling over $5 million to the regime. This guide explains how the scheme worked, why small businesses are prime targets, and the specific red flags — last-minute shipping-address changes, mismatched interview identities, unusual payment requests — to check before your next remote hire.
The Roth Catch-Up Mandate Arrives: 2026 401(k) Rules for High Earners and Business Owners
Starting January 1, 2026, SECURE 2.0's Section 603 requires workers 50 and older with over $150,000 in prior-year FICA wages from the same employer to make 401(k) catch-up contributions — $8,000 standard, $11,250 for ages 60–63 — as after-tax Roth. Plans without a Roth option must amend by December 31, 2026 or bar catch-ups entirely; W-2 S-corp owners are in scope while K-1 partners are not.
Shadow AI on the Corporate Card: The Spend Category Your Books Are Missing
Shadow AI usage has grown 156% since 2023, and unsanctioned AI tools sit on company cards an average of 400+ days before detection. A practical guide for small businesses on finding unapproved ChatGPT, Jasper, and Perplexity charges, plus a five-step quarterly AI spend audit.
Washington Just Doubled the B&O Tax Filing Threshold — Here's What Actually Changes for Your Business
Effective July 1, 2026, Washington raised the B&O tax filing threshold from $125,000 to $250,000 in annual gross income and increased the small business credit caps to $375/month for service businesses and $125/month for nonservice businesses — here's who can stop filing, who still owes nothing, and what obligations remain.
Besicorp v. Commissioner: Why the IRS Couldn't Collect a $380 Million Penalty — and What a CDP Hearing Can Do for Your Business
In Besicorp Group v. Commissioner (June 29, 2026), the Second Circuit blocked IRS lien-and-levy collection of $380 million in tax-shelter penalties because the Appeals Officer never verified written supervisory approval under IRC § 6751(b) — even though the penalties were already final after Tax Court. Here is how the Collection Due Process hearing works, what the ruling does and doesn't change, and the five steps a small business should take after a lien or levy notice.