You’ve made the decision to move forward with your business and form an LLC. Lucky for you, doing so seems so easy! A brief Google search returns a plethora of DIY products and services to help you get your new LLC off the ground. You’re on your way!
Actually, forming an LLC isn’t quite as simple as it seems. The drafting and filing of legal documents like the Articles of Organization, electing the type of LLC structure to be used, paying the correct filing fees, tax considerations, management responsibilities and even deciding if an LLC is the right way to go can complicate things quickly.
Fortunately, with an experienced business planning attorney at your side, these corporate lawyer issues can be simplified and ironed out early for successful entity launch! Working with a corporate lawyer is the tried-and-true way to take your business to the next level rapidly and effectively, while ensuring all of the necessary “i’s are dotted” and “t’s are crossed.”
Benefits of Using a Lawyer to Form an LLC
The benefits of hiring a business planning attorney to assist with the creation of your LLC are numerous. Your attorney will:
- Help you decide if you should form an LLC instead of another business entity
- Provide you with details as to why an LLC may be the most appropriate legal structure
- Determine if your business is eligible to register as an LLC with your state
- Determine in which state you should register your LLC, if not in your own state
- Draft and file the Articles of Organization, an Operating Agreement, and Initial Minutes for your business, which provide the foundation for the workings of your LLC
- Assist you in understanding state-specific LLC laws and compliance
- Maintain detailed corporate books and records (important if needed for lawsuits or audits)
- Check for name availability of your business name and filing a d.b.a. for your LLC
- Investigate licensing specific requirements for your business
As you can see, much is involved with forming an LLC well beyond simply filing for a name with the secretary of state or buying a kit. Laws governing the operation of LLCs are quite serious, and failure to follow all statutory requirements can result in adverse liability consequences and potential financial loss. An experienced business planning attorney can make sure you aren’t missing critical information necessary for a successful business venture..
How To Determine Whether an LLC Is the Right Legal Entity for You
An LLC is only one of multiple options available for business incorporation. Various other corporate entities exist, and it might turn out that your business would be better suited for:
- a corporation
- a limited partnership
- a sole proprietorship
- a general partnership
- another form of limited liability entity
A corporate lawyer will assess your business and help determine what type of entity is best.
Numerous Legal Requirements Exist To Create an Effective LLC
The legal requirement that exist in order to create an effective LLC are considerable. While it may seem that you simply need to file some paperwork and get started, doing so can put you in the line of fire for audits and lawsuits down the road.
Working with a corporate attorney ensures that your LLC is created within the existing legal framework. Your attorney will make sure that all of the proper Articles of Incorporation and various other paperwork are completed and that you are poised for success from the beginning.
Additionally, multiple corporate formalities must be maintained for your LLC’s successful start. These include maintaining bylaws, adhering to operating agreements, formalizing meetings of shareholders and directors, filing the proper DBA paperwork for any names your business will use, issuing stock certificates, and maintaining a corporate book.
They may also advise you on tax issues and file the necessary paperwork, ensure your registration with all required government agencies, and work with you to build a relationship for any future business needs.
State Offices Cannot Provide You With Legal Advice
It’s important to note that while state offices, such as the Secretary of State’s office for your state, can offer useful tips endpoint you in the right direction, they cannot offer you legal advice. Only your attorney can do so.
The Manual for Your LLC: The Operating Agreement
Your operating agreement specifies the nature of your business, its conduct, and its ground rules. Your operating agreement dictates all of your rights and obligations as an LLC. It lays out all of the groundwork of your business clearly and gives the government transparency in how your LLC will function.
You can find many free, do-it-yourself, print-from-online operating agreements simply by searching for “operating agreement LLC”, but these tools don’t conform to the specific foundation, requirements, and operations of your LLC. Using one of these tools may leave your business open to threats of audits and legal actions.
Legal Guidance in Creating Your LLC
Your corporate attorney can provide you with all of the legal requirements to successfully create your LLC. In doing so, your attorney provides you with a framework for setting up your business to succeed and thrive. From the determination of an LLC as the right entity for your business to the printing of stockholder certificates, your attorney is there every step of the way to help ensure the successful creation of your business. From there, it’s all yours!
How Much Does A Corporate Attorney Cost?
Don’t let the term “corporate attorney” scare you away from making the best possible decisions in creating your LLC. On average, corporate attorneys change around $425 to assist in creating a new LLC and getting the business started by filing all of the proper paperwork, and adhering to any other requirements.
Creating your LLC is an exciting and adventurous process. The various and complex requirements to ensure it is set up correctly are best navigated by a corporate attorney familiar with your state’s requirements for business entities.
Are you looking for an attorney to assist you in creating your LLC? Find Montana’s best at Tanko Law Firm.