How to Become an LLC Company
How to become an LLC company (Limited Liability Company)? Wondering what do? Hoping you can start an LLC by yourself, thereby saving time and money? An LLC is one of the best ways to structure a small business because it is easy to set up and run and it offers great liability protection.
Goods news! You can do it yourself. How to become an LLC company is as easy as filing your Article of Organizations with your state. Getting those forms is not hard. Most states have a set of “fill in the blank” Articles of Organization available on the state website. Pretty easy!
However, how to become an LLC company is not just filing the Articles of Organization. If you stop there, you are not getting full asset protection for your company. You’re rolling the dice and betting you’ll never have a problem. How to become LLC Company should be a process you complete after you have some education. A good discussion is available in the LLC Wizard.
If you are serious about liability protection, you need to properly set up your LLC. You also need an Operating Agreement. The Operating Agreement defines how your LLC is set up and run. By including the correct language and structure, if your LLC is involved in a lawsuit, your Operating Agreement can level the playing field in your favor.
How you structure your the Operating Agreement can also allow you to protect your personal assets from company disasters. It is also important to set up your agreement so you will get maximum charging order protection out of your LLC Operating Agreement.
Finally you need to make certain that you make the proper tax elections to get those forms you go to the IRS Small Business website before your opportunity to determine how you will be taxed expires. If you are uncertain what election to make you can read a brief description in my article Taxation of an LLC.
