Review the Capitalization table and client email below. Please identify any errors you see in the email (assume everything noted in the cap table is correct) and note suggested changes in a different color and place the fixed version of the email in the tan area marked "New email:"
Shareholder	Equity Type	Grant Date	Vesting Terms	# of Shares	% of Total
Dennis Rodman	Option	1/1/18	1/1/18 Start date, 12 months	125,000	1%
Lance Armstrong	Option	7/23/16	Fully Vested	175,000	2%
Beyonce	Common	6/1/17	N/A	250,000	3%
Private Equity IV LLC	Preferred	1/1/16	N/A	4,000,000	45%
Bob Weir	Preferred	1/1/16	N/A	4,356,000	49%
Total				8,906,000	100%
Hi Bob, Here is the updated cap table showing ownership in your music studio. As you can see, Dennis's 125 options were added as of 1/1/17 and he'll be fully vested in November. Your current 4,365,000 shares equates to 49% ownership -- Reach out to us before you sell any additional shares Prvate Equity IV as you want to be careful not to lose majority control. Note You have 9 million authorized shares, you'll need to amend our articles of organization if you issue more than 94,000 additional shares. Let us know if you have any questions. Best, Traction
New email:

Q3.

Your client is a Denver, Colorado business with all current employees based locally. They recently hired a remote employee who will be working in California. What steps would you need to take to be able to pay this new CA hire through payroll?