California Limited Liability Companies or LLCs

Understanding the California LLC

Every entrepreneur must navigate the process of California Incorporation or LLC creation. California Incorporation indicates when a business becomes a corporation or a legal entity that is separate from its owner. The alternative is creating an LLC, or a limited liability company. California Incorporation and LLC creation occur when you submit appropriate documentation to the state.

California incorporation

Regardless of whether you choose to incorporate your business as a California corporation or create a California LLC, establishing a formal structure is a good idea, as it protects you and other members and partners, while giving your business additional credibility with customers. When choosing a business structure, think about your goals and priorities. Consider whether you wish to expand quickly and sell, or if you want to continue to run your California business far into the future. The answers you provide to such long-term questions can help you make the right choice.

Tips and Guidelines: California Incorporation and LLC Creation

Keep in mind that if you plan to do business primarily in California, you must incorporate or create your LLC also in California. However, if you plan to do business over many states, but your business headquarters will be in California, this is where you must incorporate or create your LLC. If you will be doing significant business outside of California, you may be required to pay taxes on income generate elsewhere. Your California incorporation lawyer can advise you on this account.

Once you have established a California corporation or a California LLC, your business is no longer considered a general partnership or a sole proprietorship. This is advantageous because both of these business models leave the owner’s assets at risk due to liability incurred by the business.

Setting up your business will be much easier if you work with your choice of a California incorporation lawyer, who has experience with both California LLCs and California corporations, and understands state laws. California incorporation law firms specialize in setting up your business for you, no matter what structure you choose. A skilled incorporation lawyer will ensure your legal protection, and make sure your California LLC or corporation is set up for success. However, educating yourself regarding your options can help you communicate better with your incorporation attorney, so together you can make the best choice for your business.

Make sure you talk to your California incorporation lawyer before beginning the process of setting up a corporation or an LLC to ensure you are making the best decision for your unique goals and financial situation. It is recommended that you also talk to an accountant when choosing between a California LLC and a corporation.

This website will help you through the process of choosing a structure for your business. However, you are advised to proceed with the help of your choice of incorporation attorney, since the information here is designed to familiarize entrepreneurs with their options, rather than to replace essential professional guidance. An experienced California incorporation lawyer can help you visualize the path your business will take with each structure, leading you to make the best choice possible and successfully complete all requirements for California incorporation and LLC creation.

Have a question? Please call us at (619) 793-4827 to speak with a CA Incorporation Lawyer

California incorporation