Questions regarding setting up and operating Limited Liability Companies
3
votes
1answer
162 views
Undisclosed equity: advantages and disadvantages
The CEO of a LLC early startup plans to distribute equity among the founders. Each founder will not know how much equity the other founder has.
What are the advantages and the disadvantages of doing ...
0
votes
2answers
228 views
A start up with 10k award, formed LLC, now how to pay my tax
I have a start up that received 10k award from a business competition. I formed LLC to start my business, now my question is how can I minimize my tax reliability.
1) Should I state in my return ...
1
vote
3answers
556 views
What is the definition of capital account?
It seems that it's a virtual term. It is not a bank account. It is the net result of gains-losses. And it seems that there are two types of such accounts – the llc's, and members'. The account should ...
0
votes
1answer
174 views
Where should I register my LLC? (US national living abroad)
I have an Internet-based business that I will launch hopefully in the first half of this year. I am the only employee and I don't anticipate growing for the foreseeable future. However, to protect ...
0
votes
1answer
424 views
How to convert a single member LLC into a LLC with multiple members?
I started as a single member LLC. I found some great partners. How do I add them into the LLC as members?
What needs to be signed between us, is there a specific document we should maintain?
Who ...
0
votes
1answer
255 views
How to tax deduct Home Office in an LLC with multiple members?
I have an LLC with multiple partners (members) that work from home. We're a tech startup company. We each work from home, and want to take advantage of the home office tax deduction. Is this possible? ...
1
vote
1answer
55 views
0
votes
0answers
100 views
Compensation for Board of Advisors of an LLC
What is the best way to compensate a Board of Advisor of an LLC? We have just started a company and would like to have about 3 advisors. A couple of the managers know some influential people who ...
1
vote
3answers
229 views
Are you taxed on revenue or income?
As a single owner of an LLC, are you required to pay taxes on the LLC's profit or revenue?
1
vote
1answer
492 views
Taxes on non US-resident LLC owner?
I am working on launching an online product site and registering it as an LLC in Delaware. I am a non-US resident and will get the company registered through LegalZoom.com or Incorporate.com. It would ...
2
votes
1answer
121 views
LLC vs Corp - anonymonity of equity partners?
My startup has one or more equity partners that, at this time, prefers to remain anonymous. Does an LLC have any disadvantages over a Corp in this regard? The anonymous will not be on the board if we ...
0
votes
1answer
202 views
LLC with vesting shares possible?
I'm currently trying to decide if my startup should be an LLC or a Corp. (would probably make the S election for either case). This will be formed in Massachusettes, USA.
From what I've been reading ...
1
vote
1answer
102 views
Partners in an LLC
I'm about to bring on two partners in my LLC. However both have indicated that the "partnership" would be between my company and each of their incorporated entities.
Is that normal?
What is the ...
2
votes
2answers
249 views
Tax implications of giving out prizes/raffles for my startup customers
I've ran a few contests / giveaways on my site for new customers. So far I've given away a color nook, 2 rounds of golf, and 2 ski lift tickets. Just some stuff to get people more active in the site.
...
1
vote
1answer
143 views
Valuing intangible assets in an LLC sale
Upon sale of an LLC, how would I express the values of intangible assets the LLC has generated (e.g. certain access rights, processes and procedures, IP, and customer relationships)? These are assets ...
7
votes
2answers
201 views
Has anyone sold a “fork” version of their software?
I created a SaaS that became quite popular over the weekend. I had a steady stream of users sign up and many are actually still using it (lots of folks who signed up out of curiosity).
Anyway, I ...
1
vote
1answer
138 views
How should I account for the financial losses by my LLC?
All the investment to my company now is my time and skill. But I do have to pay out of my own pocket for elance, cloud computing, etc. These, based on my understanding, would be counted as "loss" of ...
2
votes
3answers
455 views
Using a UPS mail box for LLC
Anyone form an LLC in PA? I have a couple of questions. I plan on getting a UPS mail box. I'm looking to get a register agent so that I can separate my business from my home address.
1 - For bank ...
0
votes
2answers
277 views
What should I put as “the nature of business” in my LLC application?
I am filing for a LLC. It asks for the nature of business, what I should put in there? What my company doing, in one sentence, is - "provide location based service via web/website and mobile device ...
1
vote
1answer
147 views
LLC now and C-Corp later?
I am currently working on my startup myself without any income, but looking forward to release it soon in a month or so. By reading through all the Q&A, I was not able to find info on this ...
1
vote
2answers
183 views
Does an LLC provide equal liability protection as an S or C corp?
My early stage startup is at the point where we need to form a corporate entity. I've read a lot on the web and here about the advantages and disadvantages of the LLC vs C-Corp (and the tax accounting ...
2
votes
3answers
275 views
LLC, 3 members, 1 wants out
I am a member of an LLC along with two others. We each own 33% of the company and have invested very little.
One of the three members has expressed interest in cashing out, severing all ties to the ...
0
votes
2answers
160 views
Self employed. Protecting trading names?
I've been researching Limited Company vs Self Employed and I think I prefer being self employed until things get bigger, etc. However I can't seem to find anything saying how to protect a trading name ...
1
vote
3answers
244 views
DBA for an LLC Name?
Do I need to get a DBA for a LLC because of the short name? For example if the name of the company is MyBook, LLC, do I need to register for as a DBA if I just put "MyBook" as the name of the company ...
2
votes
1answer
84 views
Share offer of a US company for non-US resident
As a small team of 2 developers, we have done a good job on developing the work of a client, which is now becoming a startup and founding a LLC, they want to give us a 10% equity of the company. In ...
4
votes
1answer
5k views
How To Transfer Money Between Personal & LLC Bank Accounts
I'm starting a very small business out of my home in Texas. I've formed the LLC and opened a bank account for it.
How should I handle putting my own money into the business account so I can avoid ...
2
votes
2answers
127 views
does anybody know of a non-us country with low cost of incorporation
so from what I've seen the US offers quite low incorporation cost (it appears that you can form an LLC just by a few hundred dollars)
my question is, is there any other country that satisfy these ...
0
votes
1answer
30 views
CA LLC: What form do I file for minor name change?
Our startup's name is "Name LLC" and we're being nitpicky about it in hindsight and want to add the comma in there legally and recognized in the state's documents so it appears as "Name, LLC". What ...
4
votes
4answers
147 views
Need to form company now, but want to make ownership / equity distribution decisions later
(background - few startups, business side)
This is a situation that I've encountered a few times before. Seems not uncommon among startups.
You're kicking around an idea - let's say there are 2-3 ...
1
vote
3answers
88 views
Utilizing revenue in an LLC as an investment, not income in a new year
We are currently in the month of December and have about $10K (all revenue - all expenses) in our LLC's account. We plan to use this to invest on a project early next year. Unfortunately, it is not ...
0
votes
4answers
943 views
Is 50/50 partnership in an LLC a good idea when partner has idea and money?
I have seen similar questions, but am curious if this seems like a fair arrangement.
Partner and I have already started a 50/50 split LLC.
Myself: Technical vision, skills, no capital investment ...
3
votes
1answer
117 views
Suggest best way to process payments?
We are from NJ. Our start up consists of 2 people. Previously, all of our clients were through our contacts, so we just accepted cheques for payment and deposited them in our Bank of America small ...
1
vote
1answer
525 views
LLC Tax Filing - No Income
I am a member of a three-person LLC company. We have only been registered for about four months. Do I need to file tax returns for the LLC if there was absolutely no income, only expenses?
1
vote
3answers
191 views
How much postal mail should I expect to get as an LLC?
I am starting an LLC in January 2012, and I'm evaluating various ways of obtaining a postal mailing address that is not my home address. I have to take into consideration the cost of such a service, ...
2
votes
4answers
283 views
Three-person startup not sure which state to incorporate in
Currently forming a three-person startup; our members live in Tampa, Florida & Hayward, California & Arlington, Virginia.
It will be a politics-based web game, and we are reasonably sure ...
1
vote
1answer
83 views
We are an LLC from NJ, can we hire this guy from Canada, who is a temporary resident?
We are a small software based start up in NJ, we recently got a couple of projects from Canada and we're loving them.
We came across this guy in Canada, he is very talented and we think he will be ...
2
votes
1answer
204 views
Taking a Paycheck from LLC
I recently created an LLC and was curious to how I should take a paycheck from the business account. Up until this point, I haven't taken a paycheck and will need to soon. The business has a bank ...
1
vote
1answer
522 views
Is it legal to accept donations as an LLC?
Similar questions have been asked, but I'm still not completely understanding. I have an LLC that sells apparel, and people have offered to give us donations because the idea of our company is to ...
0
votes
3answers
201 views
Business Expense Question: Paying Rent
I have an LLC set up, and am learning my way with regards to keeping books etc. I was told recently that I can use the business bank account to pay up to 50% of my rent (being that I am the owner, and ...
2
votes
4answers
1k views
How to take a draw in a multi-member LLC?
My business partner and I are forming an LLC. As I understand, members of an LLC are not employees and therefore are not on payroll. Instead they pay themselves by taking a draw from the LLC funds.
...
6
votes
1answer
615 views
How To Open US Business Bank Account For LLC Without Going to US
Recently opened a LLC in USA, I am non-US citizen, do not live in USA, we are running an ecommerce business, now we need to open a business bank account for this LLC without physically walking into ...
5
votes
4answers
891 views
How to register LLC in USA or LTD in UK and bank account, for foreigner?
I am from Serbia, Europe (Not Europe Union country). I develop Android apps and would like to sell them on Android market. I can not register for Google merchant account from Serbia so I need business ...
2
votes
2answers
348 views
Can a US LLC do business in Canada?
We have registered an LLC from New Jersey and now we have have got couple awesome projects from Canada. They are software projects. Can we do them from here (US)? How about the taxes? Can some please ...
1
vote
2answers
164 views
How can I transition my personal funds to my LLC funds?
I am registering for an LLC after freelancing on the side.
My current clients are writing checks to my name.
Do I just simply cash these checks into my business account going forward?
1
vote
2answers
353 views
How to split up LLC ownership?
My friend and I are planning on forming an LLC around some services we are providing.
I am working fulltime on our services and started the initial work 6 months in advance
My partner has a fulltime ...
0
votes
1answer
82 views
Dividing an LLC and bringing more partners down the road
I have been developing a game for 3 years now. And recently, a friend has joined me to work on the game with me. By next year, we plan to bring along an artist and musician to help us finish the game.
...
1
vote
2answers
425 views
Operating agreement vs Founding Agreement?
I am part of an L.L.C. and have heard a lot about operating agreements and founder's agreements. Can anyone clarify the differences between the two for an L.L.C.
Thanks!
1
vote
1answer
210 views
What is the best way to set up a new entity/name under an existing LLC?
We have an existing LLC that operates as an independent contractor providing services at multiple locations in the local area. We would like to set up another entity that provides the same service, ...
4
votes
5answers
2k views
How do you split a company three ways without repeating decimals?
My co-founders and I have agreed on a completely even split equity of 1/3 each. In our operating agreement,however, we need to put down the percentage ownership stake for each of us, and aren't ...
2
votes
3answers
363 views
Where to incorporate software startup?
The scenario: we are a startup software company that will be selling our applications through Apple's network (iTunes and Mac App Store).
One co-founder is located in Toronto, Ontario. The other in ...
