Prepare & File LLC in Washington
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Forum Questions About LLC
State of Texas - questions regarding an online business (Nanny Placement Agency) in the Houston area.
Seeking an attorney for advice as to what I need to start up an online business, specifically a Nanny Placement Agency. Do I need a license in the state of Texas and what do I need to protect myself against possible unforeseen lawsuits. I will be living in the Houston area soon but want to start my online business remotely (Michigan) asap. I have an LLC in Michigan already, I assume I may need one in Texas as well, is this correct?
Hello, I can help you with this project. I’m a semi-retired, long-time Texas attorney with substantial experience in business and corporate law. I counsel startups and small businesses, help them set up corporations or LLCs across the country and draft a variety of contracts and corporate documents. You should have an LLC for liability protections, whether it's in Michigan or in Texas. Actually, you would be better off organizing a Texas LLC because your Michigan LLC would have to register in Texas so you would be paying extra fees. There is no licensing requirement for nanny agencies in Texas. If you are interested, I will make you a flat fee bid to set up an LLC for you here in Texas. Thx. JV PS For more information about business entities, download a free copy of my ebook "Should Your Small Business Become a Corporation or an LLC? A Look at Liabilities, State & Federal Taxation & More!" from my website types-of-business-ownership.com
LLC or S-Corp?
I am starting a public speaking consulting business with one other person. Most of our work will be done virtually and do not need an office space and will not have a physical product. We do not have investors. We have received conflicting advice about whether to form a llc or an s-corp. The s-corp has been suggested by some as the best for tax purposes, but others have warned that it is much more expensive to start and harder to maintain. What would be best for our situation?
For a small service business with no outside investors, the LLC form probably offers you more advantages than the corporation. (For example, LLCs offer greater flexibility, fewer corporate formalities, and pass-through taxation which is especially beneficial in the early stages of an LLC if you have other income sources.) The S-Corp election does not affect your choice of entity (LLC or corporation). Either kind of entity can make the S-Corp election, which just tells the IRS how you should be taxed. You can form an LLC at the beginning and make the S-Corp election for that LLC in the future, if and when it makes sense (you will still be an LLC then, but an S-Corp for tax purposes only). The S-Corp election only makes sense to do once your net profits reach a certain level. The purpose of the S-Corp election is to reduce your taxes. Filing the S-Corp election is not itself very expensive, but you will need to incur the costs of running payroll. (LLCs don't have to run payroll.)