Form,Limited,Liability,Company business, insurance Form A Limited Liability Company

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In order to form a limited liability company there are certain things you will need to do and which you need to know about. In this article we will go through what these requirements are and what you will need to do if you choose to make your small business into an LLC (limited liability company). But first let us provide you with a brief explanation of what an LLC is. An LLC (limited liability company) is a legal business where the people who own it have very limited personal liability for the business itself. This is the same whether they just own or actually manage them business themselves. Although it is some what like a partnership formed in businesses it is a lot more flexible with regard to the way it is run and does not have any legal liabilities to worry about. But unlike other businesses which are not either LLC's or are partnerships with this type you only require one person in order to form it. But once the decision has been made for you to incorporate your business in order to become a limited liability company there are certain things that you will need to do and these are as follows:-1. Choose a name for your business – The name you choose for yours must comply with certain rules that apply to the state where your business is to be incorporated. These rules can be easily obtained by contacting your Secretary of State's Office. It is important to note that the name you choose is not the same as any other business that has already filed their Articles of Organization with this office. Plus at the end of your name you must include either "LLC" or "Limited Liability Company". 2. Prepare then File Articles of Organization – These need to be completed and then filed with the State LLC Filing Office where you wish your business to be incorporated. However be warned that not all states call the forms you need to fill "Articles of Organization" some may to refer to them as the "Certificate of Formation" or the "Certificate of Organization". Also it is important to note that you need to pay a filing fee when you do submit these forms. 3. Set Up A Bank Account – This is an account which needs to be separate from any personal accounts you have and be in the name of your business. Also if there is more than one owner of the business you need to ensure that all are signatures on the account.4. Develop A Financial Plan – This is extremely important as it is this which will help you to move your business forward in the future. The plan should be showing what it is you hope to achieve in the next days, weeks, months and years.5. Record Keeping System – This needs to be set up to ensure that everything runs smoothly where you business is concerned. Plus when it comes time for you to do your tax returns each year you know exactly where you stand. 6. Insure the Business – Extremely important especially in a business where you are providing services or equipment for customers to use. You need to get two kinds of insurance that which protects your employees (if you have any) and that which protects your customers.So to form a limited liability company is relatively simple as long as you keep the above mentioned in mind. It is only after you have carried out the above will you be able to open the doors on your business and start trading.



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