Establishing an LLC is an important element to take if you are worried about lawsuits or debts related to your business product or service. Many business owners do not know what to do when it comes to declaring an official business entity. This has caused a number of business owners to place their business at-risk for legal consequences. If you only sell a few things on eBay, do you need to set up an LLC? Keeping your personal assets safe is vital, and this is why an LLC is a beneficial option.
What an LLC Declaration Provides
When you are seeking the right business entity, it is important to consider what will work correctly for your business. An LLC provides you with personal protection from claims related to your business. This means people will not be able to come after your personal property and other assets in the event of a serious lawsuit. A business lawyer in Pittsburgh can provide you with the right information you need to correctly declare an LLC.
Forming an LLC
How do you form an LLC? In most states, you will need to file the correct articles of organization. There is a filing fee associated with the LLC that you must pay. Your business law attorney in Pittsburgh will be able to assist with the entire filing process.
LLC owners report business profits and losses on personal income tax returns. This is beneficial for tax needs, and it provides business owners with everything they need to sleep well at night as they do not need to worry about their personal property becoming at-risk.
One of the worst enemies of a business owner is paying taxes. If you are paying a large tax bill each year, moving to an LLC can help to lower your tax burden. Not only does the LLC help you understand your correct tax classification, you will find adding LLC to the end of your business name can boost your credibility. You will not be able to issue stock to raise capital for the business if you would like it to grow in the future.
Starting an LLC with a Partner
As you look at the various options when forming a business, you may find yourself in a situation where you are planning to start an LLC with a friend. Partnering is a great way to launch a business, but you need to consider the consequences of the future if your friendship ends.
A good business law attorney will help you understand how to file the right paperwork to ensure you are safe in the event that your partnership ends. No matter if you are just starting out with your business planning or are looking to make changes to your existing company, contact the experienced business lawyers at Allegheny Attorneys. At AAAL, our business attorneys will help you find the best solutions for the future of your business. Protect yourself and your company by contacting AAAL and filing an LLC today!