Baton Rouge residents who are thinking about creating a business can find themselves overwhelmed with the options available to them.
Of course, before many other major issues can be addressed, you have to acquire funding and decide on a legal structure for your business. These matters may seem basic at first glance, but the decisions made early on in the business formation process can have significant ramifications later down the road.
Differing legal structures can leave you as a business owner open to varying degrees of liability. In exchange for accepting liability, you may be able to enjoy other benefits. For example, a sole proprietorship is easy to create, but it leaves you on the hook when it comes to liability. Partnerships can also leave you susceptible to personal liability for the business’s debts and legal judgments, but it also allows you to acquire a significant share of the business’s profits.
A corporation, on the other hand, can significantly limit liability, but the tradeoffs could include the authority to make decisions. A sole proprietor has absolute control whereas a corporation is usually governed by a board of directors.
Dealing with these matters can be complicated and confusing, especially if you’re not sure what you want from your business structure or you don’t know your options. This is why skilled legal teams, like the one at Dale M Maas Attorney at Law, stand ready to assist.
At our firm, we have helped numerous individuals build the solid foundation they need for future business success. We have a firm grasp of the legalities of business formation, and we can help guide individuals through the process to ensure they are taking the steps that are necessary to further their best interests.