LLCs are great for investors and small businesses because of their flexibility. One of the first steps to customizing your LLC is to determine whether you want it to be member-managed or manager-managed. Here, we’ll discuss the difference (and which management structure is best for your business). Option 1: Member-Managed LLC An LLC’s owners are Continue reading
Business Formation
How to Fix Your Business If You Haven’t Been Keeping Proper Records
Keeping careful records is essential to a well-run business. In fact, if your company is a disorganized mess that ignores corporate formalities, your future could be in jeopardy. Here, you’ll learn how to get things back on track if you haven’t been documenting your business as you should. What Happens If You Don’t Follow Corporate Continue reading
Guide to Resolutions for Corporations and LLCs (With Examples)
A corporate resolution is a written document that memorializes a business’s decisions. Without resolutions, third parties (like banks) might not do business with your corporation or LLC. Plus, carefully keeping resolutions helps protect business owners from personal liability. Who Signs Corporate Resolutions? Corporate resolutions are signed by the key decision-makers in a corporation or LLC. Continue reading
6 Key Provisions in an LLC Operating Agreement
LLCs offer limited liability protection and pass-through taxation, making them the perfect choice for a growing business. Here, you’ll learn about an LLC’s operating agreement — the essential document that sets the rules for your company. The Two Types of LLC Formation Documents Let’s start with the basics. When you form an LLC, you’ll need Continue reading
3 Common Mistakes When Forming a New Business
If you’ve decided to form a legal entity to operate your new business, you’re already on the right track. However, if you set up your company improperly, you might miss the tax benefits and limited liability protection. Here, you’ll learn three common mistakes new business owners make when forming a legal entity (and how to Continue reading
4 Ways to Ruin Your Corporation’s (or LLC’s) Limited Liability Protection — Piercing the Corporate Veil
The #1 reason to form a legal entity is to limit personal liability for your business’s debts and obligations. If disaster strikes, you might lose your investment in your corporation or LLC. But with limited liability protection, creditors (like lenders or successful plaintiffs in lawsuits) can’t come after your personal assets. That is…unless a court Continue reading
Which Legal Entity Is Best for Real Estate Investors?
Forming a legal entity to hold your real estate investments can protect you from liability, make your business more credible, and pave the way for growth. But what’s the best business type for real estate investments? What Types of Legal Entities Are There? Let’s take a quick tour through some of the most common legal Continue reading
Why Form a Real Estate LLC for Investment Properties?
Creating a real estate LLC to hold your rental property is a great way to protect yourself (and your assets) from liability. Setting up an LLC — a “limited liability company” — doesn’t have to be difficult. Here, you’ll learn why LLCs are a real estate investor’s best friend. Advantages of LLCs for Real Estate Investors Continue reading
Where Should I Organize My Business? The Guide to Forming Out-of-State LLCs and Corporations
Are you thinking of starting a new business? Or perhaps you’ve been operating for a while but now realize you should create a legal entity to protect yourself? If you’ve decided to form a corporation or LLC, you’re on the right track. But did you know each state has its own laws governing legal entities? Continue reading