Hey everybody! We’ve been on a kick this week talking about corporations, and how they work. Like any other machine they need maintenance, and if they’re treated well they’ll reward you. With a buncha lotta cash, of course. That’s what corporations are for, after all (though they should always strive to maintain a sense of
Hey everybody! Yesterday we chit-chatted for a spell about doing the things necessary to maintain a corporation. Corporations are great entities for raising capital (in the form of issuing stock) and expanding internationally. But they do require a certain level foo upkeep. We talked about the need to keep detailed records of everything your corporation
As you may or may not know we’re pretty obsessed with Limited Liability Companies (LLCs.) If DocRun were a teenage girl in 1978, Limited Liability Companies would be Donnie Osmond, David Cassidy and Leif Garret combined into a Super Teen Idol Transformer. And this blog would be Tiger Beat on steroids. What we’re saying is
Sometimes here at DocRun we fall into the habit of talking about picking a business entity like you’re getting married to it. Like this is the olden days and the first business entity you pick is the one you’re going to be stuck with FOREVER AND EVER, till death do you part. But what if
When you’re dissatisfied with the type of business entity you have chosen, it seems like the simplest solution is to merely change the entity. That is, turn your sole proprietorship or DBA into a corporation, your partnership into an LLC, whatever transfer is right for you. Maybe change the name too. But an option you
One of the advantages of creating a corporation or limited liability company is that they offer protection. Specifically, they protect their owners’ personal assets in the event that the corporation or LLC is sued. But this isn’t always the case. In fact, the shareholders of a corporation and the members of an LLC must keep
As we’ve discussed before, LLCs are a great business entity for small business owners, especially ones dealing in real estate investment. Among the many advantages of an LLC, the simplicity and lack of formalities (compared to corporations) makes them attractive to people who don’t want to have to fuss over a lot of legal compliance
One of the biggest decisions businesses encounter (after forming officially) is picking the actual physical location of their company. But just picking a dream location and securing it are two different things. To secure the space, a business must sign a lease. And the property owner is almost certainly going to draft it. If both
As we discussed yesterday, to start a company you often need to seek outside capital investment through taking out a loan from a bank. But that’s not the only way. One of the best things about forming an LLC is that unlike partnerships and sole proprietorships, LLCs can raise money by selling a part of
The one-two punch of running a rental property investment biz trough an LLC (remember?) while simultaneously using a land trust has specific advantages (hyperlink to last article). You get both the liability protection afforded by an LLC while keeping kep aspects of the property (like the sale price) off the public record. So let’s say
