Business Formation Simplified With LegalShield

Select Business Type

Some people start their entrepreneurial journey with a sole proprietorship, conducting business under their own name and Social Security number and reporting their business taxes on their personal tax returns. However, even the smallest businesses should strongly consider forming a more sophisticated business entity. When set up and managed correctly, legal entities can shield your personal assets from business lawsuits and provide significant tax benefits.

But which business structure is right for you? Here are the common options and their respective benefits:

• Limited liability companies (LLCs) shield against personal liability when operated correctly, and offer flexibility in ownership, management and taxation options.
• Limited liability partnerships (LLPs) also offer protection against personal liability, including from other partners, but are often limited to certain professions.
• C-corporations limit your personal liability and allow you to issue stock to raise capital.
• S-corporations similarly limit liability and permit stock issuance, and allow for pass-through taxation.
• Benefit corporations have the benefits of C- and S-corporations and can appeal to investors and customers alike with their stated goals for social and environmental good.
• Non-profit corporations protect founders against liability and are exempt from property and income taxes so long as they maintain their non-profit status.

Once you know which type of business entity is best for your situation, you need to make sure the required paperwork, such as articles of organization or incorporation, are created and filed correctly and the requisite filing fees are paid. Failure to follow all applicable legal requirements can render your liability protection null and void.

While this may sound daunting, there is a simple, affordable solution. For only $149 + state filing fees, Launch by LegalShield connects you with an experienced provider lawyer that will help you select the right business structure. As a single member LLC, your provider lawyer will create all necessary paperwork and file everything with the Secretary of State or other appropriate governmental body in your state. On top of forming your entity, you get 3 months of legal support for a whole host of common business tasks you’ll need to complete beyond launching your entity.

Ready to launch? Get Started Now

Meet Federal and State Requirements

Enjoying the legal protections and tax benefits legal business entities provide requires you to jump through a few additional hoops. A Federal Tax Identification Number, also known as an Employer Identification Number (EIN), allows you to open a business bank account, file federal taxes separate from your personal taxes, apply for business licenses and permits and legally hire employees. It’s critical to starting and maintaining your business over the long-term while allowing for scalability.

Depending on your state and industry, your business may require additional business licenses and permits. Common licenses and permits include general business licenses, sales tax licenses, health department permits and liquor licenses.

• How do you get a tax ID number?
• Which licenses and permits are required federally and at the state or local level?
• Where do I get all the federal and state forms and apply for licenses and permits the business needs?

Launch by LegalShield members don’t have to worry about any of these questions because a provider lawyer gives the advice and guidance you need to navigate federal and state filing requirements. A provider lawyer will even apply for and secure your federal tax ID for you as a standard part of your launch plan and can review any other applications you prepare on your own.

Get Started Now

Contract Review and Legal Representation that Drives Growth

When you need to draft a sales contract, negotiate the terms of a lease with a landlord or hire your first employee, LegalShield has your back. The legal plan that is included with your launch package includes the following additional legal services.

• Submit business legal documents (up to 15 pages each) for review by a provider lawyer**
• Fill out any document template from our website and have a provider lawyer provide feedback
• Have a provider lawyer write letters or make calls on your business’s behalf***

**Up to 6 per month, with the total of 20 per membership year. Preparation of business legal documents is provided under the 25% preferred member discount.

***Up to 6 per month, with a total of 20 such letters or calls per membership year. Debt collection letters are not part of this benefit. Up to 5 debt collection letters are also included each month at no additional charge.

While you can find a variety of services that will provide you an online form that spits out generic entity filing documents, none of them will provide the real one-on-one legal services that Launch by LegalShield includes for no additional fee. There really is no comparison.

Purchase Launch by LegalShield