Seasoned Direction In Setting Up A Business
When it comes to starting a business, there is no substitute for good planning. At McMahon, Stowater, Laddusaw & Buske, we can guide you through the business formation process.
Get the information and guidance you need to understand your options and make sound decisions. Our legal services include:
- Early-stage development
- Letters of intent
- Articles of incorporation
- Certificates of organization
- Bylaws creation and amendments
- Noncompete agreements
When you work with us, you will work with an attorney or team of attorneys who understands the pitfalls and liabilities associated with starting up a new business.
Types Of Businesses We Work With
The best time to protect your investment is at the start. By structuring your business correctly, you reduce your general and tax liability while creating the greatest potential for growth.
Our business lawyers typically work with six business structures:
Partnerships: A partnership is created when two or more persons decide to carry on as co-owners a business for profit. There must be a sharing of profit and losses, joint ownership, and equal rights of partners concerning the management of the business. Partners are co-owners of the business who also have a right to share in profits. It also offers “pass-through” taxation treatment. Instead of the business paying taxes on profits, the taxes are paid by the shareholders on their personal income forms at individual rather than corporate rates.
Limited Liability Partnership (LLP): Like a partnership, an LLP allows a partnership to continue as a pass-through entity for tax purposes. However, it also limits the personal liability of the partners. A limited partner’s liability is limited by their investment in the firm. It is important to understand that an LP must be formed in compliance with state statutes.
Limited liability limited partnerships (LLLP): A limited liability limited partnership is different from a limited partnership, in that the liability of a general partner in an LLLP is limited to the amount of his or her investments in the firm.
C corporations: Most corporations are C corporations. It is the company rather than the owners that pays the taxes. Generally, owners and stockholders are responsible for the company’s debts only to the extent of their investment in the company. Typically, a board of directors makes decisions.
S corporation: An S corporation is taxed like a partnership (pass-through taxation treatment), but must have 100 or fewer shareholders.
Limited Liability Company (LLC): A limited liability company combines the limited liability aspects of a corporation along with the tax advantages of a partnership.
There are other considerations when it comes to setting up a business such as shareholders, family member investment and spousal interest. The best time to consider these factors is at the onset of your business plan. We can help.
Contact Us For Business Guidance
Still have questions? For a confidential appointment with an Algona attorney who knows Iowa business statutes and can offer experienced counsel and guidance on your business venture, contact our office by email or call us toll-free at 888-571-6584. Some appointments can be made outside of regular business hours.