New Business Formation Lawyers in Denver Setting Your Business Up for Success
Starting a business can be one of the most exciting adventures of your professional life. There are a lot of decisions to make as a business owner, from business planning to research to sales and marketing. It’s difficult to determine which step to take first and how to best serve your business.
With so many pains to tackle, it’s all too common for business owners to overlook important decisions at the beginning of the journey that can protect their business in the long run. The question is, what are they?
Small or growing businesses tend to engage in legal help when there’s already a problem or dispute. Business formation sounds innocent enough, though it’s one of those smart steps that can prevent liabilities down the road.
A business attorney with Ragab Law Firm P.C. can help you establish a proper business entity so you can prevent future legal consequences, save on taxes and protect your intellectual property.
Our legal professionals can help you explore a potential business structure based on your business and long-term goals, from a limited liability company to a sole proprietorship to a c-corporation or other partnership agreements.
Protect your future and start your business journey off right and book a consultation with our business formation attorneys at (303) 564-7313.
What are the Types of Business Entities to Consider?
Our business formation attorneys can help you determine the best business structure for your small business while considering your daily operations, personal risk, ability to raise capital, or how much you currently pay in taxes.
This is a smart business decision for small businesses and new businesses as it will support you as your business grows and protect you from legal headaches in the future as your company scales. There are several types of business entities, though some are more commonly used than others. These include:
- Limited liability companies: Also commonly referred to as an “LLC,” a lot of businesses utilize this entity formation. An LLC protects you from any personal liability if your business goes financially under, and your personal assets will be protected.
- Sole proprietorship: In this structure, you can own the business and run its operations. As you might be the only business partner and employee, you are personally liable for debt, expenses, and losses.
- Partnership agreements: When two partners hold an equal role in the company and share in debts, losses, and expenses, a general partnership agreement is a perfect entity. In a limited arrangement, any professional or person that has limited control or input takes on limited responsibility and liability.
- C-Corporation: Setting up your business like a corporation is slightly more complex and expensive compared with other business structures, though it has its advantages based on your goals. You have to say in strict compliance with regulations, maintain diligent records, and adhere to tax requirements. This option makes sense if you want to raise funds and have plans to take the company public or sell down the road.
- S-Corporation: Similar to a corporation, on a smaller scale, you cannot have more than 100 shareholders and you must meet specific criteria to be listed as such.
The best place to start is by talking through your business objectives with our business formation attorneys. We can start you on the right path to choosing the best business structure for your long-term needs.
What Should I Avoid When Forming My Business?
From a liability perspective, the entity you choose or don’t choose might cause personal liability issues down the road if something happens to your business. Changes to your business, at the same time, like any growth, new partnership opportunities might influence the dynamics of your business.
In order to identify business structures to avoid, start by narrowing down your choices with these considerations:
- What type of business do I want to create and set up?
- Do I want to be held personally liable if something goes wrong?
- Do I want to be financially responsible, and can I handle the financial ramifications?
- Do I want a partner to be involved, and do I want to share in expenses, wins, debts and losses?
- How much do I want to pay in taxes? What are some tax advantages of different business entities, and do they make sense for me?
- Will I need or want to raise additional funds to scale my business later on?
- Can I manage the costs of the entity I choose?
For some business owners, certain business ideas and industries easily fall into certain categories, though not every business structure is straightforward. That’s where our services can help.
If you have a vision for your business, or you’re not sure where to start, our business attorneys can offer expertise in setting up the right entity and help you file the necessary documents.
How Can a New Business Formation Lawyer Help Me?
If you want to own equity or shares, or you want to avoid high taxes or personal liability, these are the types of decisions we help businesses properly plan for, work around and structure their new business around.
Our clients rely on our legal team for a broad range of business advice when starting a business, particularly as it relates to setting up a new business and filing the necessary paperwork.
- Benefits of operating agreements and other legal documents to protect your company
- Benefits of certain business formations to trial your business ideas
- Advantages of different business entities such as limited liability to s corporation to c corp and other partnership agreements
- Lesser-known business formation options like nonprofits and cooperatives
- Potential implications of certain business structures
- Possible legal costs related to lawsuits and other potential scenarios to prepare for depending on the entity you choose and your business
It’s likely better to start with one business entity rather than none at all and risk exposing yourself to liability issues and costly legal issues. As your business changes, we also can help you through these complex matters and explore other entities and make a seamless transition.
Legally Protect Your Company with a New Business Formation Lawyer
As an entrepreneur, your business plan should include important business decisions that keep your company safe as it grows and matures, including the advantages of legally setting up a new company to set your business operations up for success.
Our experienced attorneys can help you identify the right entity, from a corporation to a limited liability company LLC to an s corp or sole proprietor, to protect your company from creditors, damages, and other potential implications as you start selling your products, and services and hiring employees.
These are complex matters well-suited for our experienced attorneys for business claims as we’ve helped other entrepreneurs in their journey to ownership shift from startup to mature enterprise with valuable legal advice and business counsel.
Get peace of mind and confidence as you embark on a new venture when you book a consultation with our business formation attorneys. We understand what business owners are up against and can help you plan and prepare for all the highs and lows of entrepreneurship. Call our law office today and see how we can support you in your new business opportunity at (303) 564-7313.