Limited liability corporations are very popular as alternatives to incorporation. The LLC allows you to enjoy certain tax advantages while retaining the protection against personal asset liens that corporate entities possess. If you are considering an LLC, it is a good idea to discuss the matter with a College Station LLC Attorney who can advise you on whether this form is suited to your needs. What follows is a basic description of how to create an LLC.
Ease of Formation
Your College Station LLC Attorney will tell you that one of the reasons LLCs are so popular is that they are relatively easy and inexpensive to create. That said, you need to make sure to follow all the necessary steps and abide by Texas laws which govern business formation.
Forming Your LLC
Your first step is really to decide whether a limited liability corporation is appropriate, given your business goals. For some, a sole proprietorship is better, while if yours is a very large company you may wish to form as a corporation instead. Once you and your College Station LLC Attorney determine that an LLC is your best option you need to do the following:
- Name the Company: It is important that you do this first, for you will need to include the name on documents thereafter.
- Obtain a Registered Agent: This person can be you, but it cannot be the LLC, itself.
- Decide on How the LLC Will Be Managed: Determine who will be the members, whether you will have employees, and what the management structure will be.
- File Documentation with the Secretary of State: You will need to file Form 205, Certificate of Formation. Include the name of the registered agent, of the organizer, and date when the LLC will commence operations.
- Obtain an Employee Identification Number: Referred to as an EIN, this is necessary for IRS purposes, even if you don’t plan to hire employees.
- Obtain Any Local Business Licenses: Most counties require that you apply for a license. A fee will be required.
Once your business is in operation make sure that you abide by all tax requirements. A College Station LLC Attorney can help you with this and any other matters as they arise.
If You Are Planning on Creating an LLC
Whether you have decided to form your business as a limited liability corporation, or would like more information, a College Station LLC Attorney can help ensure that your business has the best chances of success. Call Peterson Law Group today to arrange a consultation at 979-703-7014.