LLC CORPORATE FORMATION

INTRODUCTION

The formation of an LLC, or Limited Liability Company, will allow members of the LLC to be protected from any liability, lawsuits, or creditors that may pursue the business. LLCs have become popular because they combine the personal liability protection of a corporation with the tax benefits of a partnership. Therefore, it is a favored choice for businesses with few members. Tsang & Associates will assess your circumstances and assist you in meeting the requirements. Consultations are free and we look forward to speaking with you.


SERVICES

We will prepare all the necessary forms and supporting documents for LLC formation, including:

  • -Corporate name clearance and draft Articles of Organization
  • -Customized Articles of Incorporation indemnifying officers and directors of the program
  • -Creation of Operating Agreement of the LLC

In short, we provide a start to finish service. Your case is safe with us until the case is complete. 

PAYMENT

Legal Fee $1,500

Free Consultation

*Legal Fees vary based on complexity of each case, and the above quoted price represents the amount we charge for a typical case. 


ADDITIONAL INFORMATION

LLCs have become popular because they combine the personal liability protection of a corporation with the tax benefits of a partnership. Therefore, it is a favored choice for businesses with one to three owners not looking to build the business into a much larger company.

Benefits:

  1. Members of an LLC are protected from any liability, lawsuits, or creditors that may pursue the business;
  2. Members of an LLC are able to deduct its operating losses against the member's regular income to the extent permitted by law;
  3. The IRS does not consider an LLC to be a distinct separate entity for tax purposes. As a result, members of the LLC can determine how they wish to be taxed as follows:
    1. With a Single Member LLC, the LLC is taxed like a sole proprietorship. Profits and losses are taxed through the single member's personal federal tax return;
    2. With partners in an LLC, members elect to be treated like a traditional partnership for tax purposes;
    3. By filing an LLC as a corporation, members elect to be treated like a corporation for tax purposes;
  4. An LLC is not subject to double-taxation like a corporation is, thus they avoid tax at the corporate level and only pay taxes at the member level.

Limitations:

  1. Managing members will have to include profits on their personal income taxes like a self-employment tax and pay for federal items like Medicare and Social Security;
  2. The LLC has a limited lifespan, such that if all members departs the LLC, it ceases to exist;

CHECKLIST

In order to provide you with the best and most accurate consultation, we recommend that you bring as many of the following information so that you can to ensure a productive meeting.

Client Questionnaire for Articles of Incorporation:

  1. List the name of your corporation as well as two alternates in case the first is unavailable?
  2. What is the address of the corporation? Do not include P.O. box?
  3. Do you plan on issuing shares of stock to generate investment?
  4. How many shares of stock the corporation is authorized to issue?
  5. What is the name of the incorporator?
  6. Who is the Chief Executive Officer?
  7. Who is the Secretary?
  8. Who is the Chief Financial Officer?
  9. Include the names and addresses of all directors.
  10. What kind of business do you wish to incorporate?
  11. Do you have a business plan?
  12. What are your projected revenues 5 years from now?
  13. In which location(s) would you like to conduct business?
  14. Who have you designated to receive service of process in the event that your corporation is sued?
  15. What types of payment do you plan on accepting from customers?
  16. What kind(s) of merchandise do you plan on selling?