A successful business begins with a sound formation and growth strategy. McAllister Garfield’s corporate practice group, led by Dan Garfield, helps entrepreneurs select the business entity type tailored to their business needs as well as positioning for growth and future success. Our team of
experienced and creative business attorneys understands the unique needs of new businesses and can advise decision makers on the practical and legal consequences of all potential avenues during the business formation process.
At McAllister Garfield, we’re committed to the longevity and success of your new business venture. Our corporate formation lawyers, led by Dan Garfield, understand that the chosen structure of any business is essential to its long-term success. With our innovative legal services, we help entrepreneurs make better-informed decisions and save money in the long run.
Our firm guides aspiring business owners in transforming their goals into profitable business opportunities. We provide expert legal advice on common business formation issues and risk mitigation practices. You will work closely with us as we provide custom solutions throughout the course of your business.
Choosing an Ownership Structure
We have years of experience assisting businesses of all sizes from various industries. From drafting governance documents to selecting the right structure for your business, we’re committed to helping you grow while properly mitigating risks.
The business structure will play a key role in your cash flow and overall growth. Discussing your options with an experienced corporate lawyer is a step towards the right direction for you and the future of the company.
Our lawyers are well-versed in forming all types of entities:
A corporation is a legal entity that is separate from its owners. Corporations can own assets, pay taxes, loan and borrow money, enter agreements, and hire employees, among others.
What makes corporations different from other business forms is their limited liability. This signifies a shareholder’s right to take part in the profits although they are not personally liable for the firm’s debts.
A professional corporation is a specific type of corporation allowing individuals who are under the same field to interact with one another for a specific purpose. Professional corporations are a popular structure for incorporating a business because they bring certain benefits such as tax breaks and limitations on member liability. It’s possible for professional corporations to be subject to different regulatory laws than regular corporations.
A business partnership is a legally binding relationship between two or more entities. It is most often finalized through a written agreement.
In a partnership, both parties invest their assets in the business. Each party benefits from any profits and stays responsible for any losses, debts, and lawsuits filed against the company.
A partnership must register with all states where it conducts business. Each state offers several different kinds of partnerships you can establish, so it’s essential to identify all possible options before you register.
There are partnerships between individuals who work directly in the business. However, there are also those involving partners with limited participation and liability for the business’s debts and lawsuits. Unlike a corporation, a partnership is not a separate entity from the business owners.
Limited Liability Company (LLC)
Registering your business as an LLC, or Limited Liability Company gives your company and assets maximum protection without a heavy tax burden.
The LCC structure is a great option for individuals who wish to legally separate their business and personal assets with no intentions of going public or taking an external investment. LCCs have the freedom to use their own tax identification number, open a bank account, and operate under their own registered name.
LCCs share similar features with corporations and partnerships. Like a corporation, an LLC limits the legal liabilities of the owners. And similar to a partnership, individual members are only taxed once on any profits made.
Professional Limited Liability Company (PLLC)
A professional limited liability company (“PLLC”) is a business entity that specifically caters to licensed professionals including doctors, accountants, lawyers, architects and engineers. While an LCC is a more common choice for businesses because of its limited liability, some states restrict licensed professionals from forming this type of entity. Instead, they are mandated to form a PLLC.
Limited Liability Partnership (LLP)
Business partnerships allow both parties to reduce operational costs and leverage each other’s resources. However, with each partner comes a unique set of risks that can endanger the other party’s personal assets. For this reason, many entrepreneurs tend to avoid general partnerships.
Limited liability partnerships (LLPs) were then developed. They allow individuals to enjoy the rewards of a partnership without the risk of losing their cash and personal assets.
LLPs are non-corporate legal entities that restrict the liability of partners to assets held within the company. Similar to regular partnerships, any partner in LLPs can bind the business and oversee daily operations.
A nonprofit corporation is developed for a religious, charitable, educational, literary or scientific purpose. It raises funds through donations and grants from individuals and companies. Many nonprofit corporations may be exempt from certain tax obligations.
Why You Need a Corporate Formation Lawyer
Whether you’re thinking of establishing a new company or expanding an existing venture, you want a skilled lawyer to carefully examine your goals and suggest the best legal structure for your new venture.
Our attorneys at McAllister Garfield are ready to meet the needs of businesses in Colorado, California, Michigan and Oregon. We’ll help you set up the right legal foundation that aligns with your business goals and protects you against potential risks.
Once we’ve laid out the structure of your business, our corporate lawyers will guide you towards growth and profitability. We help clients navigate debt and equity financing plans through loan agreements, warrants, convertible notes, options, business equity offerings, and private placement memorandums. McAllister Garfield will help you strategize and execute your startup’s goals while protecting its best interests.
Seek Legal Assistance Today
Starting a business without the guidance of an experienced and knowledgeable business lawyer could put you at risk. Hiring employees, obtaining legal permits, and entering into professional contracts all carry certain risks that could impact your company’s future. With our strategic legal services, entrepreneurs can avoid any legal disputes. We’ll also provide continuous expert counsel as you expand your organization.
By hiring our experienced corporate law attorneys, you can trust that your business is in good hands. We’ll manage all the legal aspects of your new venture so you can focus on running your business.