The business structure I chose to go with is Limited Liability Company and with that being said I feel it would make sense to start by talking about the disadvantages of this structure. Not every start up business can form as an LLC. No insurance company, bank, and or credit unions companies can. Some states have specific taxes against certain LLC’s. Charges are based on a flat fee depending on different aspects that pertain to that business like revenue and profits. Some states don’t require any formal business operating agreements to be filed and thats one of the many reasons businesses get shut down. Even though operating agreements don't need to be filed the owner has to take it upon himself to do so because this shows what the company is and what it can be. A customer always wants to be apart of a company that is ethical. No company wants to end up in court or have tax problems.
Now to talk about the advantages and why I chose this business structure.LLCs are easy to set up. Every state allows individuals to form an LLC by filing articles of organization, which typically only require the name of the business, its main location, the names and addresses of the owners and the name and address of its registered agent (the person or company that accepts legal papers on behalf of the company). Most states keep this form available for download on their government website. LLCs provide protection for owners. LLCs provide for limited liability. That is, the owners of the LLC, called "members," are protected if the company is sued or goes into debt; the personal assets of members can't be taken. Members of LLCs can be individuals, other LLCs, corporations and even foreign entities. There's no limit on how many members an LLC can have. And one person can form an LLC alone.
I’ve taken very good thought into what structure I wanted for my business. I know along the way through this course I will make many changes toward the end but for now I’m enjoying this...
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