CHOOSING THE RIGHT BUSINESS ENTITY
New Jersey Business Formation Attorney
Starting a business is an exciting but stressful event. No matter what type services or goods your company will provide, it is essential that you understand the various legal entities that are available, from partnerships to LLCs to corporations. The business form you choose will define your rights and obligations as a business owner, and will determine the nature of your liability should a dispute or accident occur.
At A. Schancupp & Associates, L.L.C., we help clients in Essex County, Morris County and across New Jersey make sound decisions at the formational and organization stages of a company’s existence. We work alongside CPAs, bankers and any other necessary professionals to create a solid foundation for your operations and file the correct paperwork with the state. Proper attention to detail in the formation stage can make your company stable and attractive to lenders and investors, while giving you a clear understanding of your responsibilities as an owner.
What Business Form Fits Your Needs?
New Jersey business lawyer Arnold Schancupp is prepared to evaluate your unique needs and business goals and help you choose the business form that aligns with your vision. Perhaps the two most important considerations in choosing an entity are tax implications and exposure to liability. Each form leads to different treatments of these two critical factors:
- S corporation: We often recommend S corporations because they allow shareholders to limit their personal liability while at the same time benefiting from generous partnership tax rules.
- C corporation: If your company has a larger number of investors or you wish to provide stock options to key employees, the C corporation may be the right choice.
- LLC: Limited liability companies allow for hands-on management while affording members the benefits of limited liability.
- PLLC: Much like an LLC, but available only to doctors, lawyers, dentists and other professionals.
- Partnerships: There are multiple varieties of partnerships, each with different rules for management and liability.
Our Essex County business law firm can help you not only choose the right entity, but also draft operating agreements, shareholder agreements, articles of incorporation, bylaws and all other documents needed to create a solid, operational company.