I don’t recommend a small business hold an attorney on retainer. But I DO recommend that a small business have a relationship with an attorney that they can call on when the need arises.
A partnership is a business with two or more owners who conduct business and are not incorporated.
This series on choosing a business entity started last June and covered 10 parts. Here’s a listing, with links, of all the parts in this series.
There’s no magical checklist for deciding on a business entity. But here are a few considerations.
An LLC is a “limited liability company.” Note the “C” stands for “company” and not “corporation.” LLCs are legal entities formed under state law.
What is a reasonable salary for a corporate owner? This is hard to answer because tax law and the IRS provide no formal definition of the term “reasonable.”
S-corporations share many of the same characteristics of partnerships. The biggest difference is, owners who work in the business day-to-day are paid a salary.
This is an excerpt from a presentation I give to college students and to prospective entrepreneurs about types of business entities. A college professor (who’s also an attorney) told me that my presentation on this subject is the best, clearest and most-concise overview of the topic that she’s ever seen. I’m flattered by the compliment, […]
What is basis? Basis in a business can be thought of as a person’s stake in that business.
Choosing a business entity: a brief discussion of the tax characteristics of partnerships.