Business Entity Formation in New York
Choosing the correct business structure is a critical first step when starting a new business.
An Experienced Business Formation Attorney Will Guide You To The Correct Business Entity Choice
There are many details to consider when choosing the proper entity: what are the short and long-term goals of the business? Will the business seek investors? What about tax implications? Making the wrong choice could prove to be expensive.
There is no need to make this decision alone, let an experienced New York business attorney guide you through the process. Together we will discuss your business plan and your business goals. I will answer all your questions, and best of all I will explain all the legal details in an easy-to-understand way.
The Right Business Entity For Your Business
There are several business entity choices available, each with its own benefits and tax implications. As a new start up your business will likely choose from a limited liability company – commonly known as an LLC, a corporation – either a Subchapter S or C, a limited liability partnership – an LLP, or a sole proprietorship. Each choice has its own unique legal requirements, documents, and filings. Whichever entity is the right choice for your new business, I will ensure that is formed properly and promptly.
Starting a business or changing your business type?
Business Setup FAQ
If you’re thinking about forming a business entity, you want to have all the information at your fingertips so that you can make an informed decision. This includes knowing the legal ins and outs and how the law pertains to the business entity you choose.
At Regina Gordon Law, we help people just like you get their businesses up and running. As you decide which route is right for your business, here are answers to some frequently asked questions when it comes to business entities.
Does every company need a lawyer?
It is in your company’s best interest to hire a lawyer. Having legal representation to guide you through the process of forming a business entity will assure all paperwork is filled out correctly and the process is followed step-by-step. At Regina Gordon Law, we discuss your business goals as well as other aspects to keep your business on track. Having a lawyer on your side can also help should your business get sued or find itself in other legal trouble.
Why do small businesses need lawyers?
Small businesses rely on lawyers to give them advice in areas that they may not be familiar with. A lawyer will ensure that your small business opens and operates by state, local, and federal laws. This is especially important when you’re just starting out.
What is involved in a business formation?
Forming a business involves first deciding what type of entity you want to establish. Many start-ups choose either a limited liability company (LLC) or a corporation. Either one involves filling out forms and meeting certain legal requirements.
Besides filling out the necessary paperwork, you need to verify the availability of your business’ name and obtain a Federal Tax ID number for your business. When you work with Regina Gordon Law to help you form a business entity, we will go down the list of requirements to make sure everything is done correctly and on time.
Can I do work as a freelancer or independent contractor without forming a business entity?
If you work as a freelancer or independent contractor without forming a business entity, you will automatically operate as a sole proprietor. Many people new to freelancing start off this way and may later decide to form an LLC once they become established. This can be the least expensive and easiest way to run a one-person business.
What are the advantages and disadvantages of forming a business entity?
Depending on the type of business entity you choose, a business entity can give you the advantage of protecting your assets while growing your business. It also helps you to look credible and can give you tax choices that can be beneficial.
Forming a business entity can give you access to shareholders and more financial backing to get your business off the ground. Some disadvantages include the possibility of double taxation (depending on the type of entity) and being limited to the number of shareholders you can have.
Can you file the proper paperwork without a lawyer?
You can file the proper paperwork without a lawyer, but you risk it not being filled out correctly. This can impact your business and can even force you to close your doors if there are major mistakes. This is why it’s always wise to hire a lawyer to file the proper paperwork for a business entity.
How many partners can be involved in a business entity formation?
When forming an LLC, at least one member is required. Owners are referred to as members when talking about an LLC. There are no limits to how many members an LLC can have.
The owners of a corporation are referred to as shareholders. Under a “C” corporation, there can be an unlimited number of owners. With an “S” corporation, the number of shareholders is limited to 100.
What are the primary advantages of forming a corporation?
When it comes to a corporation, you have the advantage of having access to more financial resources. Owners also do not have any personal liability for debts of the corporation under a “C” corporation. With an “S” corporation, double taxation can be avoided by passing income to the owners. An “S” corporation also protects the personal assets of the shareholders.
What are the primary advantages of forming an LLC?
The advantages of forming an LLC include giving the owners limited liability. Their assets are protected from any judgments and defaults on company debts. Owners can also choose how the business pays taxes. With an LLC, the number of shareholders is limited and there is no requirement to have a board of directors.
What types of business entities are there?
Business entities can be in the form of an LLC, corporation, partnership, or sole proprietorship.
How do I set up my business?
To set up a business, first, decide what type of entity you want to establish. Once you’ve made that clear, contact a lawyer to help fill out the necessary paperwork and go over the requirements needed to open your doors. This includes verifying your business’ name and obtaining a federal tax ID number. You may also need to establish bylaws or a custom operating agreement depending on the type of entity you are forming.
Do I need an LLC for my business?
While an LLC is not required to start a business, it is often recommended. Establishing an LLC provides personal liability protection as well as gives you a formal business structure. Having an LLC for your business also gives it credibility as you work to grow it.
Start The Business Entity Formation Process
Business Entity Formation
Want to get started right away? Complete the form and submit your payment. Your new entity will be up and running within one week. Also included in the price is a thirty minute one-on-one call to discuss next steps, proper management, maintaining liability protection, and, of course, answering all your questions.
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