Forums: Discussions for entrepreneurs and small business.

Took a couple classes and think that LLC is a good way to protect yourself. Cost seems quite reasonable.

I plan to start doing business in Virginia, that is where I have the most viable prospects for business. I don`t plan to stay here. Tax base is very high and the commonwealth has the most rules and regs that I have ran into. Do I have to register in the state that I am working in? Would it be to my advantage to licence in an easier state, for instance Montana, where I could register my vehicles without the emcumberance of the property taxes that are levied on them here?

Spoke with a friend that has a biz in this state he advised me that I should be able to get a peddler`s licence for the face to face commerce that I plan to do. Very inexpensive compared to storefront.

I just heard a podcast on this very issue from www.nolo.com.  They`re a great resource for these types of questions. 

I believe they recommend registering in the same state where you live since you`ll be taxed there no matter where you register.  Check their website out for clarity on this.

~Liz

There are a great many reasons to register your company in the state where you live! Ever try to sue someone for non-payment or non-performance on a contract, if you`re not licensed and/or registered in your state?

If you are seriously planning to leave Virginia, consider setting up your LLC in Nevada or Delaware and then, registering it Virginia, as long as you`re living there. When you move to Montana, you can close your Virginia registration and register in Montana.

But don`t register your cars in a cheaper state. I have no doubt Virginia has laws about registering if you`re using the car in Virginia for more than a couple of weeks or so. All states do.

Life is easier if you comply. (ask the Borg...)

Hello,

I`m a newbee and have some questions:

Let`s say there are only two partners, 50-50. How does an LLC work in this case? Does each partner get half of the shares? What is the proper legal procedure for doing that? What must be done in case the two partners decide to terminate the company? What is the proper legal procedure for doing that?

Thanks -- Ron

Thanks for the reply.

We have a New York LLC with my partner but we just decided not to go ahead with the planned business and never signed an operating agreement.  My partner says just to stop paying the fees and forget about it. Is that the right thing to do?

Ron

No, it isn`t the right thing to do.  You need to file the correct paperwork.

http://www.dos.state.ny.us/corp/llccorp.html#dissolve