LLC
What Is a Loan Out Company? A self employed individual can use a Loan Out Company to turn short-term employment arrangements into independent contractor relationships. The company effectively employs the individual and “loans out” their services to the companies for which they work. Through a Loan Out Company, the individual can reduce their effective tax […]
Delaware Corporation
What Does It Mean to Incorporate? A business is formed when the formation involves an “unincorporated” entity. In other words, you do not incorporate LLCs, LPs and partnerships, you form them. When someone talks about incorporating a company, any business lawyer will tell you this means starting a corporation, not forming an LLC. With the […]
Delaware Series LLC
What Is an Umbrella LLC, Exactly? An umbrella LLC is another word for a holding company. An umbrella LLC owns other LLCs that are below it, known as subsidiaries. It effectively shelters those LLCs from cross liability in the event that future litigation results in a judgment creditor trying to collect against assets of a […]
LLC
Are there shareholders in an LLC? Limited Liability Companies do not have stock or bylaws. In fact, LLCs have almost no features of corporations. LLCs are known in legal circles as “unincorporated entities” because they are creatures of contract, rather than corporations which are creatures of statute. But what does it mean to be a […]
B Corp
What Is a Certified B Corporation? Certified B Corporations are for-profit entities that exhibit world-class standards for sustainability, transparency and accountability. These standards are audited periodically by the independent industry standard organization, B Lab. B Corp Certification can be likened to Fairtrade or USDA organic certification for products such as bananas or milk. The difference […]
LLC
Most states do not limit a creditor of an LLC Member to a charging order. In fact, most states are not very friendly to creditor rights. That is why entrepreneurs should “forum shop” for the most business-friendly state when starting an LLC. It may be convenient to form a Florida LLC as a single owner, […]