HOW TO SET UP LLC (AND KEEP YOUR LIABILITY PROTECTION)
Episode 32 on the Business Bites Podcast
The Gist Of This Episode: You have decided an LLC is the best formation for your business, but how do you get started? In this episode, Rachel will walk you through the process plus give you tips on maintaining it.
What you will learn:
- Reasons why a CPA should not file your business formation documents
- Steps to set up an LLC
- What “piercing the corporate veil” is and how to avoid it
- and more!
EXPAND TO READ EPISODE TRANSCRIPTS
Checklist:
How to set up LLC
- Choose a name that isn’t taken or trademarked
- File articles of organization
- Get an operating agreement
- Update all contracts, insurance policies, permits, licenses
Top ways to not pierce the corporate veil
- Always sign for your entity
- Use regular entity name on legal documents
- Separate business accounts
- Ask all payments be made to the entity and not to you personally
- Check commercial leases/contracts for personal guarantees
- Separate insurance accounts
Related Episodes:
- Episode 5: Layers of Protection
- Episode 16: When to Get a Small Biz Attorney
- Episode 31: Business Entities 101 for Entrepreneurs
- Episode 76: Entrepreneurs, Protect Yo’ Assets!
Tools & Resources:
