What Do You Need To Start A Llc Business

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What Do You Need To Start A Llc Business – You have great ideas for new businesses. You are ready to incorporate to protect yourself and your personal assets, and you have decided that it is time to take the next step and set up an LLC for your various ventures. So the questions are: What kind of business can I do in an LLC? How many different businesses can I operate under an LLC? Do I have to DBA? Do I have to set up a separate LLC for each project? Will a series LLC work for me, or should we stick to several LLCs? Now, Delaware is known to be the gold standard when it comes to forming an LLC, limited liability company, or corporation. A Delaware LLC is the most common type of entity for most new businesses. As a result, people often wonder if multiple LLCs can operate under a single LLC. Organizing Multiple Businesses Under One “Umbrella” LLC For example, suppose a business owner has a trucking company incorporated as an LLC, but after a while, they may also want to offer real estate services. These are two completely different types of businesses, so the question arises whether the owner can provide both services in an LLC. Part of the consideration, of course, is the desire to avoid the additional costs of maintaining another LLC. The answer is yes: it is possible and permissible to operate several companies under one LLC. Many entrepreneurs who choose to do this use what is called a “fictitious name statement” or “DBA” (also known as “doing business as”) to run an additional business under a different name. However, the fact that it is allowed and possible to run several different types of business under one company (LLC or Corporation) does not mean that you should, because there may be drawbacks. For example, if one company is sued, other companies’ assets may be at risk. The result is that you expose yourself to greater liability risks. In other words, if one unit of the LLC (business) is responsible, then the entire LLC. The old saying goes “don’t put all your eggs in one basket”. Instead, many people choose to file a new LLC for each of their initial businesses. This isolates risk by separating the debts and liabilities of each business. Think of the different entities that contribute to building a large brick wall between each LLC. Of course, there is an additional maintenance fee, but it may be worth it to protect your business and give you the peace of mind that separate LLCs will provide. What about the LLC series? Some people explore the low-cost LLC series when they want to operate several different businesses, which is very attractive since there is only one annual Delaware franchise tax payment and one annual agent fee. However, the structure of this business is new and untested, so many challenges often arise when dealing with a serial LLC. Many service providers, banks, lawyers, accountants, and other companies are still unfamiliar with the concept of serial. It often takes time to explain the concept of the chain and get the required document approved and reviewed by the bank’s lending team. In general, it is considered safer and wiser for individuals to keep their businesses completely separate from one another by forming an LLC for each aspect of the business; Essentially, what you do is create a Delaware LLC as a holding company and other individual LLCs within it, but separate from it. Differentiating an LLC for Different Businesses Today, the battle-tested and proven practice of creating individual LLCs for each type of business traditionally remains the recommended strategy offered by tax professionals, attorneys, and business advisors worldwide. . This means that for every part of the business, every product line, every service provided, and every piece of real estate they own, clients often consider setting up separate traditional LLCs. Doing so ensures that the assets, liabilities, and liabilities of each LLC are completely separate and protected from one another in the event of a potential lawsuit. When setting up several LLCs, it can be very helpful to develop a planning hierarchy that aligns with the different LLC relationships. For example, people typically set up several real estate development limited liability companies. This structure typically consists of the parent LLC at the top of the hierarchy; Let’s call it ABC Holding Company, LLC. Then people create multiple LLCs, one for each piece of real estate; Let’s call it ABC Real Estate 1, LLC; ABC Real Estate 2, LLC; and ABC Real Estate 3, LLC. Each LLC may own, manage, and be responsible for only one unit of ownership; Therefore, while all LLCs share the same entity, ABC Holding Company, LLC, and may have similar structures, ownership interests, assets, and liabilities, they are isolated and protected from each other to protect each individual’s property and resources. LLC This is also a smart and strategic way to keep your personal assets in your LLC. If you would like more information or have any questions about starting your own business, please contact us by phone (800-345-2677), Skype (), email, or live chat. One of our business creation experts will be happy to assist you. Next: How to create and use a DBA

*Disclaimer*: Harvard Business Services, Inc. Not a law firm or accounting firm, even where the author is an attorney or tax professional, nothing in this article constitutes legal or tax advice. This article provides an overview and analysis of the topic. We strongly recommend that you consult an attorney or tax professional for legal or tax guidance appropriate to your particular circumstances. Any action taken or not taken pursuant to this clause is at your own risk. If the article references or provides links to external resources or Web sites, Harvard Business Services, Inc. is not responsible and makes no representations about the content or accuracy of that resource. The opinions expressed in this article do not necessarily reflect the opinions of Harvard Business Services, Inc.

What Do You Need To Start A Llc Business

What Do You Need To Start A Llc Business

I own an LLC and was looking to open another business unrelated to my primary business. I think I can apply for a DBA and have this work in my name. However, I was thinking of keeping them separate by making them sole proprietorships and then getting an EIN for the second business. How do I get a “dba” business name for a sole proprietorship? It seems the only way I can register a dba company name is to register it with another entity, LLC.

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Thanks for reading the blog and your questions. Generally, you will file for each separate LLC in separate LLCs so that not all of your eggs are in one basket. A representative from our office will contact you to provide additional information and answer all of your questions.

Hi, I am the owner of four homes. It is likely that he can recommend a recommended type of LLC. I am also buying real estate in a neighboring state, do I need to set up another LLC in that state? Thank you, Stephanie

Thanks for reading the blog and your question. We are happy to assist you with your question and will be in touch with you shortly to assist you further.

Hello, thank you very much for the article. I am planning to start a laundry business as an LLC and hope to have several. However, I also have a DBA in the process. Can I use a DBA for banking purposes as an LLC? But I have every possible laundromat that has an LLC outside of the DBA. Or do I need separate accounts for each business under the LLC?

S Corp Vs. Llc

Thanks for reading the blog and your question. One of our representatives will be happy to contact you to help explain this in more detail.

Hello, my name is Jamil. Thanks for the article, really useful. I currently have a company that provides services, but am looking to set up another company that sells products, would you suggest registering a trademark for all my business or opening an LLC for all my existing business as a parent company?

We are happy to contact you to discuss your questions further. One of our representatives will contact you shortly.

What Do You Need To Start A Llc Business

Welcome. I found your website very useful. My question is that I am starting an incorporated LLC that is in the process of becoming a non-profit corporation. A good friend wants to start a profitable business completely unrelated to the original LLC, but he asked me to make a profit under the new LLC. Should I do the original as parent LC Inc with subsidiaries, or should I?

What Is An Llc? (limited Liability Company)

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