Where are you in your business journey?
Start
Give your Start-up the proper foundation and protect it from the beginning. READ MORE The best way to ensure success for your business is to make sure that you are operating in the proper entity and running by the proper rules. There are many differences between the types of business entities available (partnerships, Limited Liability Companies and Corporations). Choosing the correct entity will save your business on taxes, and avoid the pitfalls of having to change course when you need to raise capital and/or subject the assets of your company to unintended areas of liability. We will consult with you about your Start-up and help you plan for the future before we take the first step of incorporating your business. We also provide simple, flat-fee options to allow you to control expenses and clearly understand what we will deliver and how long it will take.
Fund
Raise the capital that you need to propel your business into the future. READ MORE
Grow
Expand and grow your business to include new customers, markets and innovations. READ MORE
Exit
Create an exit strategy that provides stability for your business and a legacy for yourself and your family. READ MORE
Starting a business in Charlotte is an exciting (and sometimes daunting) prospect.
However, with the right forethought and some good legal advice, you can protect yourself and put yourself in a position for the most profitable legal setup for you and your company.
There are many different types of Business formations / Business Startups, such as Corporations, Limited Liability Companies or Limited Liability Partnerships. Each of them have different rules that must be followed and different pros and cons depending on the type of business that you want to start.
Forming a corporation or LLC can be an important tool in making sure that you, your family, and your investments are protected from some liability. READ MORE
How? Let’s say Joe decides to start a lawn care business. Joe simply signs contracts in his own name, deposits his customers’ payments into his personal account, and writes checks from the same checkbook he uses to pay his personal expenses. Life is good – until, one day, Joe’s employee isn’t looking while mowing the lawn of a very wealthy customer, and drives the lawn mower right into the living room of this customer, destroying an $8 million collection of Faberge eggs.
Not surprisingly, the homeowner does not take this well. Because Joe has not formed a corporation or LLC, he is sued personally, and could end up losing his home and all his property. What’s worse, if Joe gets another job, his wages can be garnished for the rest of his life (or until the $8 million judgment is paid, whichever comes first.)
Now, let’s say Joe had incorporated and created Joe’s Lawn Care, LLC. When his customer’s Faberge eggs hit the floor, any assets in Joe’s LLC (which might include his tractors and anywhere he does business – depending on how it is structured) are at risk. However, Joe’s personal assets are not at risk.
How does one set up an LLC?
First, determine a name for your business and make sure with the secretary of state that it’s available. You’ll also want to speak with an attorney to make sure you aren’t violating any trademarks. You will have to include the words “limited liability corporation” or “LLC” somewhere in the company name.
Next, articles of organization must be filed. These will determine how the business is run and managed. A skilled attorney can help you draft them.
Also work with your attorney to determine any other licenses and tax consequences that may exist, and then open a bank account for your business. In addition to this you need to respect and keep the corporate form. This means that you need to follow the rules for LLCs including filing an annual report with the secretary of state.
This is a very broad overview of one type of business formation. Business Formation Attorney Jonathan Meek has worked with many kinds of businesses, and will be happy to advise you on the best entity for your needs. Call
Business Lawyers in Charlotte | Meek Law Firm | 704-848-6335