Business Formation Need To Know
Businesses are formed around the world every day. However, the process of forming a business can be somewhat complex, which is why you need the assistance of a professional business attorney. They can help with the legalities and important details to ensure everything runs smoothly and smoothly with the process.
If you’re currently considering creating a business, Howard Lewis & Petersen are business lawyers in Utah who can help with business formation.
Types of Business
There are several types of business structures to choose from, especially when considering creating one from scratch. Knowing which options are available to you and which would be the most beneficial for your particular situation is important. An expert legal professional can help guide you through the process and answer the important questions that help you determine which option is right for you.
The following are the different types of businesses you can choose to create. However, only some types of business are suitable for some situations. It’s crucial to know the difference to help you make your decision.
Sole Proprietorship
A sole proprietorship is a good choice for individuals who want to open a small business they run themselves. A sole proprietorship means one owner controls the business itself and its attributes. These sole proprietors run the business, accounting, hiring, and filing documentation.
Corporations
A corporation is appropriate for a medium to large-sized business with investors and assets such as publicly available stock options. Corporations are complex entities that require strict regulations, and individuals responsible for the corporation must adhere to strict rules and regulations. Corporations usually have a governing advisory board and elected presiding executives in charge of specific functions of the corporation.
Partnerships
Partnerships are businesses where there are two or more owners for the company. Having a partnership requires a strict outline of rules and responsibilities for owners. There’s also language in the business structure outline that specifies how partners may govern the business. There are also strict protocols for documentation, the selling of the company, and other legalities.
Limited Partnerships
Limited partnerships are nearly identical to partnerships, with the exception that there are one or more limited partners. The limited partner is only liable to the limit of their investment in a company. This type of business outline requires specific language in the business formation contracts, which is why you need an expert business attorney to help with the process.
Limited Liability Companies
A limited liability company, or an LLC, is one of the most commonly formed business structures. This particular type of business allows for some protection for the owners of the company because the liabilities in the industry only go as far as the business and pass through to the owners and their personal assets. This type of company allows for more protection for business partners or even single owners.
How a Business Attorney Can Help
Forming a business and the appropriate documents outlining the business structure is complex and requires the assistance of a knowledgeable and experienced business attorney. Without the help of an attorney, there is plenty of room for error and legal liability. Please don’t make the mistake of trying to form a business without the insight and guidance of a professional business formation attorney.
A Provo attorney is your best bet for getting the proper outcome for your business formation. Howard Lewis & Peterson are Provo lawyers who can assist you with your business formation needs.
Be sure to secure the help of a lawyer to ensure your protection without confusion and headaches. Call our Provo lawyers today to schedule a consultation.
