Choice of Entity and Formation at Corliss Law Group Estate Planning Law Corporation
Does the Choice of Business Entity Really Matter?
Absolutely! One of the very first decisions that someone getting ready to start a business has to make is what form of business entity to operate in. This is a complex and very important decision and should not be taken lightly. This decision will have a considerable impact on a number of very important business and tax consequences, including protection of the owners against outside liabilities, shielding of personal assets from business risk, the ability of the business to raise capital and obtain financing from commercial lenders, transferability of interests, the ability to qualify for certain favorable tax benefits, the building of value and exit strategies, and the ability to integrate with your estate plan, to name but a few.
The initial business planning involves quite a bit more than entity choice and formation. At the start of any new business there are a host of decisions that need to be made concerning business processes, record keeping, reporting, compliance procedures, economic and capital structure, labor structure, procedures and compensation, insurance coverage, etc. Many of these mattes have a legal component or present varying degrees of risk exposure, all of which we assist the business owner is addressing so that the business has a solid foundation. and initial structure. Additionally, proper business planning allows you to prepare for your future in three distinct ways: ensuring that your business provides you with the maximum return, protecting the welfare of your family, and protecting your business entity and operations.
Your business plan should allow for the probability of everything going extremely well, and for the possibility of major operating problems or adverse life events. Many risks can be avoided or minimized, however the real benefit of business planning is often not avoiding a risk, but anticipating and being prepared for the risk if it arises – contingency planning so to speak.
Whether you are contemplating a new business, established in a single-location family business or trying to manage disparate business locations or entities, we can help you design the business plan that encompasses stability, foresight, financial strategies, compliance, and peace of mind.
After review with you and/or your Financial, Legal, or Accounting advisor, and it is determined that your business may benefit from our services, you or your advisor will be contacted Corliss, A Law Corporation. It is our belief that you should involve your other advisors in your planning and keep them apprised of steps you are taking. In this way advisors are fully informed and have a chance to offer their particular expertise to the process. This is Collaborative Business Planning.