Most entrepreneurs fail to understand the importance of proper business structure. Business structure is whether you choose to decide to be an LLC or an S corporation or sole properietor. Often times, entrepreneurs believe that they can focus on their corporate structure at a later date.
I explain to business owners that protecting your personal assets from legal exposure must be a priority. When I first started out, I failed to realize the importance of corporate and LLC structure. Ask an experienced business owner the importance of corporate structure that has gotten sued and now faced with the prospect of losing all of their assets or filing bankruptcy.
Literally, appropriate corporate structure is the difference between filing bankruptcy and surviving and starting a new business entity with minimal set backs. In my practice, I often see a business owner and their business being sued as a corporate and individually. For example, one of the biggest types of disputes is a partnership dispute. A key mistake in corporate and LLC structure is the failure of business partners failing to incorporate their own business interests inside their corporation or LLC.
Sean Robertson is a corporate and LLC structure planning attorney with considerable expertise representing business owners and entrepreneurs. Sean Robertson can be reached at 312-498-6080 or Sean@RobertsonLawGroup.com.
Showing posts with label asset protection attorney Cook County. Show all posts
Showing posts with label asset protection attorney Cook County. Show all posts
Tuesday, March 1, 2011
Corporate Legal Structure and Investments
Today I received a phone call from a prospective client and his question was how do we structure an investment into another business?
Generally, there are two major corporate structures for small to medium sized business owners. The first major corporate structure is an S corporation. An S corporation is a corporation designed for small business owners and is limited to U.S. citizens and less than 100 shareholders. An S corporation only has one type of stock, which is voting stock and the business owners and any investors have the same type of stock.
In contrasts, the second type of major corporate structure is an Limited Liability Corporation ("LLC), which is a combination between a corporation and partnership. An LLC is similar to a partnership because it has the flexibility of a partnership and the liability protection of a corporation. Both an S corporation and LLC are flow through entities, which mean that the shareholders or owners pass taxes as though the corporate entity does not exists. Thus, shareholders and owners pay taxes on their personal income tax form as though the corporation or LLC is disregarded.
Sean Robertson is a corporate and asset protection attorney that concentrates in corporate and LLC structure planning, business law, and general legal counsel for small to medium sized businesses. Sean Robertson can be reached at 312-498-6080.
Generally, there are two major corporate structures for small to medium sized business owners. The first major corporate structure is an S corporation. An S corporation is a corporation designed for small business owners and is limited to U.S. citizens and less than 100 shareholders. An S corporation only has one type of stock, which is voting stock and the business owners and any investors have the same type of stock.
In contrasts, the second type of major corporate structure is an Limited Liability Corporation ("LLC), which is a combination between a corporation and partnership. An LLC is similar to a partnership because it has the flexibility of a partnership and the liability protection of a corporation. Both an S corporation and LLC are flow through entities, which mean that the shareholders or owners pass taxes as though the corporate entity does not exists. Thus, shareholders and owners pay taxes on their personal income tax form as though the corporation or LLC is disregarded.
Sean Robertson is a corporate and asset protection attorney that concentrates in corporate and LLC structure planning, business law, and general legal counsel for small to medium sized businesses. Sean Robertson can be reached at 312-498-6080.
Thursday, January 27, 2011
Why Entrepreneurship is Fun?
Entrepeneurship and self-employment is fun, but it is filled with liability risks unlike employment with somebody. Many entrepreneurs dream about owning their own business and building this profitable company. Often times, entrepreneurs fail to understand the capital requirements and liability risks associated with business ownership.
One of the first decisions an entreprenuer must decide is what business entity to incorporate as. Being a sole properietor or partnership in your personal name is unwise and presents a bad business image to a budding entrepreneur or start up company. It is important to consult a business attorney to discuss your business structure and what liability risks that are inherit with being an entrepreneur.
Many business attorneys and general attorneys do not understand asset protection because they have little experience. Sean Robertson has a lot of experience in asset protection because he faces lawsuits for his clients on a daily basis. Unfortunately, asset and business structure takes on a new importance when you are the Defendant or potential Defendant in a litigation matter that threatens your solvency or financial stability.
Sean Robertson is a business and asset protection attorney in downtown Chicago and Naperville, Illinois. Sean Robertson can be reached at (312) 498-6080 or (630) 364-2318.
One of the first decisions an entreprenuer must decide is what business entity to incorporate as. Being a sole properietor or partnership in your personal name is unwise and presents a bad business image to a budding entrepreneur or start up company. It is important to consult a business attorney to discuss your business structure and what liability risks that are inherit with being an entrepreneur.
Many business attorneys and general attorneys do not understand asset protection because they have little experience. Sean Robertson has a lot of experience in asset protection because he faces lawsuits for his clients on a daily basis. Unfortunately, asset and business structure takes on a new importance when you are the Defendant or potential Defendant in a litigation matter that threatens your solvency or financial stability.
Sean Robertson is a business and asset protection attorney in downtown Chicago and Naperville, Illinois. Sean Robertson can be reached at (312) 498-6080 or (630) 364-2318.
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