Business Entity Formation Attorney in San Francisco, California
New and existing businesses often struggle with the idea of incorporating or forming a limited liability company (LLC). They are bombarded with information from advertisements, the media and even entertainment sources praising the virtues of formal incorporation or similar business formation that would limit an owner’s personal liability and offer tax advantages.
At the Law Offices of Michael Dobrov, we help our clients sift through all the complicated forms of incorporation, LLCs and partnerships to help determine whether a corporation, LLC, or partnership is right for your business in the first place. For many businesses, start-ups and existing companies, the sole proprietorship or general partnership may still be the best business entity.
Our Business Formation Legal Services in The San Francisco, California Area Include:
Limited Liability Company (LLC)
Limited Liability Partnership (LLP)
A corporation or LLC offers many advantages including protecting personal assets, reducing tax burdens (in some cases), providing group health insurance plans and pension plans and creating a perpetual business entity that makes it easier to raise capital, finance and sell. Whether incorporation is right for your business depends on a number of factors and the ultimate decision is best made after consultation with an attorney and accountant.
Generally, the size of a business is an important consideration. Businesses with a large number of employees, multiple owners and a significant capital investment will find that incorporation most often offers significant benefits. Smaller businesses are more likely to benefit from an S-Corporation, LLC, or even sole proprietorship. The tax and limited liability advantages are generally less advantageous to the smaller business. The tax differential to single owners is most often negligible or non-existent and new business owners that incorporate may find that their personal guarantee is still required for financing. Given the expense and time-consuming nature of maintaining important corporate formalities, operating a sole proprietorship with adequate insurance is all that the small business owner may need.