The Brown Law Firm’s business entity attorneys routinely assist clients with the formation of businesses and provide on-going counseling on maintaining of the following business entities:
- Limited Liability Companies (LLCs)
- S Corporations
- Limited Partnerships (LPs)
- Professional Limited Liability Companies (PLLCs)
Limited Liability Companies (LLC)
The LLC structure limits the owner's personal liability for business debts and court judgments against the business by enforcing limited personal liability for debts and claims. LLCs may be the correct choice for business owners that may be sued, have accumulating business debts, and for individuals interested in protecting their personal assets from creditors. A limited liability company is structured so that each partner’s liability is limited to the amount that he/she invests in the business. Limited liability prevents creditors from taking a partner's personal assets. A limited liability company has more flexibility letting partners out and adding new partners into the company.
Although forming a limited liability company may require payment of state franchise taxes (over a certain threshold of income), document filings, and fees, LLCs are relatively inexpensive to form and offer flexibility in their ownership and management structures.
The LLC structure limits the owner's personal liability for business debts and court judgments against the business by enforcing limited personal liability for debts and claims. LLCs may be the correct choice for business owners that may be sued, have accumulating business debts, and for individuals interested in protecting their personal assets from creditors. A limited liability company is structured so that each partner’s liability is limited to the amount that he/she invests in the business. Limited liability prevents creditors from taking a partner's personal assets. A limited liability company has more flexibility letting partners out and adding new partners into the company.
Although forming a limited liability company may require payment of state franchise taxes (over a certain threshold of income), document filings, and fees, LLCs are relatively inexpensive to form and offer flexibility in their ownership and management structures.
S Corporation (S Corp)
An S corporation is also known as an S subchapter and gives corporations with 100 or fewer shareholders the benefits of incorporation while being taxed as a partnership. S corporation shareholders are individuals, specific trusts and estates, or certain tax-exempt organizations that report their income and losses on their individual tax returns and pay their taxes at the normal rates.
In some states S corporation owners pay annual report fees, a franchise tax, and the owner is responsible for obtaining a registered agent and submitting their Articles of Incorporation with the Secretary of State.
An S corporation is also known as an S subchapter and gives corporations with 100 or fewer shareholders the benefits of incorporation while being taxed as a partnership. S corporation shareholders are individuals, specific trusts and estates, or certain tax-exempt organizations that report their income and losses on their individual tax returns and pay their taxes at the normal rates.
In some states S corporation owners pay annual report fees, a franchise tax, and the owner is responsible for obtaining a registered agent and submitting their Articles of Incorporation with the Secretary of State.
Limited Partnership (LP)
A limited partnership is comprised of two or more partners including a general partner that oversees business operations. The general partner is liable for the business’ debts, while limited partners are solely liable up to the amount of their investment.
A limited partnership is comprised of two or more partners including a general partner that oversees business operations. The general partner is liable for the business’ debts, while limited partners are solely liable up to the amount of their investment.
Professional Limited Liability Companies (PLLC)
The professional limited liability company (PLLC) structure is utilized by certain professionals including lawyer, medical doctors, and counselors. The structure and formation is similar to a regular limited liability company.
Upon selecting the correct business entity, the firm’s experienced business entities attorney can assist you with forming/incorporating your business and drafting the following documentation for the organization and structuring of your business:
The professional limited liability company (PLLC) structure is utilized by certain professionals including lawyer, medical doctors, and counselors. The structure and formation is similar to a regular limited liability company.
Upon selecting the correct business entity, the firm’s experienced business entities attorney can assist you with forming/incorporating your business and drafting the following documentation for the organization and structuring of your business:
- Certificate of Formation (or Articles of Incorporation)
- Operating agreements
- Limited liability company agreements
- Shareholder agreements
- Bylaws