Davidson Law Firm has extensive experience in business counseling and assisting you in establishing a business entity. Business Entities are not just used for manufacturing products or providing services, but may also be used as effective estate planning tools.
The three traditional types of Business Entities are Sole Proprietorship, Partnership and Corporation. The Sole Proprietorship and Partnership are the traditional business entity for one or more individuals. While they are inexpensive to create and administer, they may not protect against unlimited personal liability. The Corporation entity is more expensive to form and administer but does provide protection against personal liability. A smaller corporation may elect to have income, losses, deductions and credits passed through to its shareholders for tax purposes. Corporations that chose this form are referred to as Chapter S Corporations, or S Corps, and must meet certain IRS requirement to maintain their status.
Within the last few years two other types of business entities have become popular because of the low formation cost, limitation of personal liability, and flexibility of management. These entities are Limited Liability Partnership (LLP), and Limited Liability Company (LLC). Both of these are created and controlled by State law. By default both are partnerships, but the LLC may be taxed as any type of business entity depending upon the members particular needs.
Davidson Law Firm as extensive experience in all types and sizes of business entities. Regardless of your need we can provide full business lifecycle consulting and support, from formation to day-to-day operations to wind-down and termination.