for an llc, who do i contact to set that up, my lawyer or insurance

Full Answer

How to find a lawyer for an LLC?

Where to Find an LLC Lawyer. 1 1. Ask other business owners. Often, the best way to find an LLC attorney is simply to get recommendations from other people who have formed a ... 2 2. Use online legal companies. 3 3. Go through your local law school. 4 4. Contact your bar association or legal aid orgs. 5 5. Attend business events and conferences.

Should I form an LLC as an insurance agent?

Mendenhall explains, " I still recommend establishing an LLC and then having the entity purchase E&O insurance on behalf of the agent – it adds an additional layer of protection." While the liability is first and foremost, the second benefit of forming an LLC as an agent is that it's much easier to grow your business.

Can I set up an LLC by myself?

You may be able to set up an LLC by yourself, especially if you’re a single-member LLC. Do your research and head to your state’s business formation website to determine the exact paperwork you need.

How do I get a name for my LLC?

You can review your state’s LLC naming requirements and find out if the name you want is available by visiting the website of the state agency responsible for business filings. In most states, that’s the Secretary of State. 2. Designate a Registered Agent Every state requires LLCs to have a registered agent.

What are the necessary steps to be taken in order to form an LLC in the state of Ohio?

Forming an LLC in OhioStep 1: Choose a name for your LLC. ... Step 2: Appoint a statutory agent. ... Step 3: Check if you need an Ohio business license. ... Step 4: File articles of organization. ... Step 5: Draft an LLC operating agreement. ... Step 6: Comply with employer obligations. ... Step 7: Pay Ohio business taxes.More items...

How do I protect my LLC from lawsuit?

Get Good Liability Insurance Your LLC should carry liability insurance that covers both the LLC and its owners. If someone sues your LLC, a judgment against the LLC could bankrupt your business or deprive it of its assets.

What does an LLC protect against?

What Type of Liability Protection Do You Get With an LLC? The main reason people form LLCs is to avoid personal liability for the debts of a business they own or are involved in. By forming an LLC, only the LLC is liable for the debts and liabilities incurred by the business—not the owners or managers.

What is a member of an LLC responsible for?

“Put succinctly, if a member of an LLC has complete control of the company and uses that control to commit a wrongdoing that proximately causes an injury, then the individual member will be held liable for the LLC's debts.” 66, Inc. v.

Can I sue the owner of an LLC?

Like a corporation, an LLC is a separate legal entity from the owners. Someone can sue the LLC and clean out its business assets, but the member's individual assets are off-limits. Even if the LLC has no money, the owners usually are safe.

How do I pay myself from my LLC?

As an owner of a limited liability company, known as an LLC, you'll generally pay yourself through an owner's draw. This method of payment essentially transfers a portion of the business's cash reserves to you for personal use. For multi-member LLCs, these draws are divided among the partners.

What are the disadvantages of an LLC?

Disadvantages of creating an LLC Cost: An LLC usually costs more to form and maintain than a sole proprietorship or general partnership. States charge an initial formation fee. Many states also impose ongoing fees, such as annual report and/or franchise tax fees. Check with your Secretary of State's office.

What happens if an LLC fails?

After the bankruptcy, the LLC's remaining debts are wiped out and the LLC is no longer in business. The LLCs owners are generally not responsible for the LLCs debts. Sometimes, however, an LLC owner signed a personal guarantee that makes the owner personally responsible for a business debt.

Is my LLC protected from my personal debts?

General Rule: LLC is Not Liable for Members' Personal Debts The general rule in all states, including California, is that the money or property of an LLC cannot be taken by creditors to pay off the personal debts or liabilities of the LLC's owners.

What is the owner of an LLC called?

If you own all or part of an LLC, you are known as a “member.” LLCs can have one member or many members. In some LLCs, the business is operated, or “managed” by its members.

What is the head of an LLC called?

In addition to "president" and "CEO," common titles used by LLC chief executives are "principal," "founder," "consultant" and "owner." Along with being correct and true, these titles accurately represent your position in the company.

Are all members of an LLC protected?

State laws normally protect all LLC members from any personal financial liability when it comes to the limited liability corporation. However, the members can choose to contract around the protection the state law gives them.

Do I need an LLC for my business?

That will entirely depend on your small business and its needs. If you are a freelancer or solopreneur, you may do fine with a simple sole propriet...

Is an LLC expensive?

The cost of your LLC will depend on a number of factors like the state you’re filing in as well as any extras like an operating agreement or DBA. F...

Can I set up an LLC by myself, or should I hire someone?

You may be able to set up an LLC by yourself, especially if you’re a single-member LLC. Do your research and head to your state’s business formatio...

Do I really need to create an operating agreement for my LLC?

Most states don’t require LLCs to have an operating agreement, though it can come in handy. Those with business partners should consider creating a...

How much does it cost to register an LLC?

Your LLC will give you tax benefits and protect your personal assets if anything happens to your company. It costs between $50-$500 on average to register your business. You do not need an attorney to form an LLC.

What is a business lawyer?

Business lawyers if you need to change your business structure to a single-member LLC, S corporation, or another type of business, or need help with another business-related legal matter. General counsel to review compliance with state laws, state agencies, state fees, or annual fees.

How much does a business attorney cost?

A business attorney can save time and money when business owners create a new business. For around $200 to $5000, they can handle the items you may not have time to consider, such as: 1 Creating an LLC operating agreement that explains the who, what, when, where, why, and how of your company (this is required in some states) 2 Creating articles of organization that list the registered agent, LLC management, and the date of formation 3 Keeping detailed records in case of lawsuits or audits 4 Filing fees and registering with the correct people 5 Registering your business name and checking that the LLC name is available 6 Completing and filing all legal documents

Do I need an attorney to register my business?

However, by law, you do not need an attorney to register your own business. Other documents and legal services can be handled with a DIY approach or trusted to an attorney to save you time and prevent mistakes along the way.

Can an LLC be sued?

Once you register, you can buy or rent a building and have company bank accounts. Unfortunately, your company can also be sued.

What is a registered agent for LLC?

A registered agent is someone who receives official or legal documents (such as subpoenas) on behalf of the LLC. Once received, the registered agent will then pass on these documents to the person in charge of the LLC. Anyone over 18 years old can be a registered agent—and there’s nothing wrong with naming yourself. Or, you can designate a company that provides registered agent services to do so. This will come at a fee, of course; pricing for registered agents may cost a few hundred dollars per year.

How to get a copy of articles of organization?

Go to your state’s Secretary of State website to get a copy of the articles of organization form. This document includes details about your proposed LLC so that you can establish it as a legally separate entity.

Why is it important to choose a business name?

Choosing a unique business name is important for both practical and branding purposes. For one, most states won’t allow two businesses to have the same name—it doesn’t matter where they’re located within the state. Some states also prohibit certain words, such as “city,” “insurance” or “bank.”

How to create LLC?

There are several options to create an LLC: 1 to hire a Lawyer/CPA 2 to use independent filing service 3 to file it yourself at the SOS portal.

What is LLC in business?

A company such as LLC is just an organization and facilitates the business. It is not too much work, just have to remember to pay your tax and file tax forms, if you have a company with no active business. Like they say, easy come, easy go. Anything you can get for no cost have literally no value.

Can you convert an LLC to a C-Corp?

Quick note: It is possible to convert an entity from a LLC to a C-Corp. It can be a pain to do this, but it can be accomplished, so don’t worry if you are already formed as a LLC, you can change it later on – we’d recommend you plan to do it in conjunction with an outside financing round as it is not a cheap process.

What is the purpose of a lawyer when signing a contract?

When you sign a business contract – a lawyer is there to check things out and advise you. On the other hand, when it comes to offering a contract to another party – the help of a lawyer can be essential.

What does a good lawyer do?

A Good Lawyer Will Protect Your Rights. When the contract is good, accurate, and professional – it will protect your legal rights. Also, a good contract will ensure the satisfaction of both parties. Although you can find various web template contracts online – it is not always a safe option.

What are the advantages of a limited liability company?

The main advantage of limited liability companies (LLC) – is the fact that the members of the company are not liable for the obligations of the company with their assets. Therefore, in this form of company, the founders are maximally protected.

Why are founders of companies protected?

Therefore, in this form of company, the founders are maximally protected. It is because their property cannot be the subject of claims. Companies that are established in the form of LLCs, as a rule, have a small number of members, usually one, two, or three, who are connected by friendly relations.

Can a limited liability company have a large capital?

On the other hand, a limited liability company cannot attract large capital by issuing its shares to third parties – as is the case with a joint-stock company. However, this is not a disadvantage – because the founders of LLC want to have only a few people as business partners – and they don’t usually have megalomaniac financial appetites.

Is an LLC lawyer cheap?

Although they are often not cheap, they will provide you with security in the long run. An experienced LLC lawyer will anticipate all possible problems before they happen – and thus save you bigger losses. Their assistance is indispensable in a variety of legal matters that may have an impact on your LLC and its business. Such an ally will help you to always operate following the legal framework, to protect your rights – and ultimately, to operate successfully.

Do lawyers see everything in a contract?

Many things in contracts can sometimes be insufficiently visible to ordinary people. But not to lawyers. Namely, lawyers are there to recognize everything that is needed – and they can see everything hidden between the lines. When you sign a business contract – a lawyer is there to check things out and advise you.

What is LLC in business?

A limited liability company (LLC) is a hybrid between a partnership and a corporation. It may be thought of as a limited partnership without a general partner. Owners of a limited liability company are called members and may include individuals, corporations or other LLCs.

What is a Pennsylvania limited liability company?

These are Pennsylvania limited liability companies, with a purpose of creating a general public benefit, in addition to any other purposes they have as a limited liability company. A general public benefit is defined as a material positive impact on society and the environment, taken as a whole and assessed against a third-party standard, from the business and operations of a benefit company. A benefit company may also have as a purpose the creation of one or more specific public benefits. These include: (1) providing low-income or underserved individuals or communities with beneficial products or services; (2) promoting economic opportunity for individuals or communities beyond the creation of jobs in the normal course of business; (3) preserving the environment; (4) improving human health; (5) promoting the arts, sciences or advancement of knowledge; (6) promoting economic development through support of initiatives that increase access to capital for emerging and growing technology enterprises, facilitate the transfer and commercial adoption of new technologies, provide technical and business support to emerging and growing technology enterprises or form support partnerships that support those objectives; (7) increasing the flow of capital to entities with a public benefit purpose; and (8) the accomplishment of any other particular benefit for society or the environment.

Why do you need an LLC?

The key reason you'd consider forming an LLC as an independent insurance agent is to protect you from individual liability. We live in a world today where anyone can sue anyone for anything at any time. Mendenhall explains that even if there's no merit at all, it doesn't always stop someone from coming after you.

What is LLC insurance?

LLC insurance – professional and general liability. Workers' compensation – covers employees medical costs, lost wages, disability, or death benefits that result from workplace injury or illness. Commercial auto insurance – coverage for vehicles you or employees use on the job.

Does E&O insurance protect an LLC?

While E&O insurance does help protect you, an LLC offers extra cushion. Mendenhall explains, " I still recommend establishing an LLC and then having the entity purchase E&O insurance on behalf of the agent – it adds an additional layer of protection.".

Do you need to maintain an LLC?

Maintaining Your LLC. LLCs do require maintenance, but it's nowhere near as formal as a corporation. A corporation requires an annual meeting, corporate minutes, and more. With an LLC, it's less corporate, so you don't necessarily have to do that. You can if you want, but it's not required.

Can you sell all 100 units of an LLC?

If you own all 100 units, you're a single member LLC. You can sell your units or the assets of the LLC. Mendenhall explains that most of the time with LLCs, people sell the assets – not the units – because they want to retain certain assets of the LLC, such as particular equipment or the LLC name.