Your business formation is an essential component of any new startup. You don’t want misunderstandings to cause you to choose the wrong formation type. Here are a few common misconceptions about setting up a small business as an LLC.
- Misconception 1: It’s easy – Don’t get us wrong, it is doable. However, it is not something you should be trying to do on your own, and it does take time. You also want to be aware of the specific laws in your state since states are allowed to regulate this sort of thing.
- Misconception 2: It’s not worth it – Since forming a sole proprietorship is much easier, many small business owners decide it just isn’t worth it to try and form an LLC. However, this is often not true since setting up your business as an LLC can provide you with some important benefits.
- Misconception 3: You have no liability – While setting up your company as an LLC limits your personal liability for the company’s debts, you do still have to be reasonable with how you run the business. Doing anything illegal may very well negate the separation of the business your personal finances (especially if the FTC comes after you for making false claims about a product or service).
Hire a Small Business Attorney in Southern California
The best way to secure your business as an LLC is to get the help of an experienced small business attorney. Contact Pokala Law APC to get the help you need without breaking the bank. Call 1.844.695.1487, or you can request your appointment from our website.
