Which company should I use to form an LLC?
The LLC construction was created for small businesses and forming an LLC is not very tricky. If you despite this prefer to hire an incorporation company to help you out, there are several things to keep in mind. Simply picking the first incorporation company that you find in the yellow pages might not be the best course of action, because quality as well as price-tag varies considerably among the various incorporation services.
Do you want help now or in the long run?
Some owners only need help to set up the LLC and wish to handle future paper work on their own. Other plan on hiring various experts to help them out with future paper work as well, e.g. accountants, attorneys, registered agents and so on. If you think that you might need help in the future as well, it can be a good idea to look at incorporation companies that offer package deals. Here are a few things that you might want to ask the incorporation service about.
- Will you create the Operating Agreement for me or do I have to do it on my own and hand it over to you before you help me form my LLC?
- Can you help me with business licenses and permits?
- Can you be the registered agent for my LLC?
- Can you help me set up internal documents, such as written consents?
- Can you help me with future company name changes?
- Can you tailor a special package deal for me or will I be forced to pay for services that I’m not interested in?
In which state are you planning on forming your LLC?
In most instances the best choice of state will be you home state, the state where you plan on conducting business, but there are exceptions to this general rule. Each state has its own set of laws and regulations for LLC’s and you might be more favorably treated in another state than your own. Regardless of which state you finally decide to form your LLC in, it is important to choose an incorporating service with substantial knowledge on and experience from that particular state. As mentioned above, laws and regulations vary, and it is often best to pick an incorporation service with profound practical experience from the state in question.
If you decide to let the incorporation service be your Registered Agent, you must pick an incorporation service that has an office address in the state in question. The address have to be a real physical address; it can not be a post office pox or similar. The office must always be open and ready to accept legal documents on your behalf during business hours.
What does your schedule look like?
As the owners of a newly formed company, you probably work long hours and might find it hard to take time off to deal with paper work. It is therefore important to pick an incorporation service that will be able to help you during hours that are convenient for you. This is especially important if you plan on using the incorporation service not only to form the company but to help you with future tasks as well.
Here are a few questions that can be good to ask an incorporation service that you plan on using:
- I will be out serving clients until 6 p.m. each day, how will I be able to reach you? (Many incorporation service offer extra long business hours at least one or two days each week.)
- Will you be open during the weekend?
- Is it possible to meet a consultant outside regular business hours by making an appointment in advance? (The company might not be open for drop-in appointments, but it can still be open for its arranged appointments.)
- When can you be reached by phone? Do you turn off your phone during lunch when I have time to call you?
- Do you have an e-mail address?
