Business Formation Attorney in Philadelphia, Pennsylvania
Many individuals dream of becoming entrepreneurs and starting their own businesses. However, starting a new business venture can be an exciting and challenging experience. Whether you're trying to make your dreams a reality or seize a short-term opportunity, it is important that you establish a solid legal foundation for your business and think about the long-term strategy. An experienced Pennsylvania business law attorney can enlighten you about the business formation process and help you navigate crucial decisions.
At Richard L. Vanderslice, P.C., we're committed to providing detailed legal counsel and skilled advocacy to clients in business formation-related matters. Our trusted attorney is available to discuss your personal situation and unique business goals, as well as explore your available legal options. In addition, we can guide you through the legal steps involved in forming a business in Pennsylvania and help you set up your new venture for long-term success.
Richard L. Vanderslice, P.C. proudly serves clients across Philadelphia, Pennsylvania, and the surrounding areas of Philadelphia County, Delaware County, and Montgomery County.
Choosing a Business Structure
Starting your business on a solid legal footing involves choosing the right business entity or structure. Basically, the type of structure you choose will have a massive effect on various aspects of the business. Depending on your business goals and other needs, here are some common business structure options:
A sole proprietorship is a type of business owned and managed by a single person. In a sole proprietorship, there is no legal distinction between the business structure and owner. In addition, the sole proprietor or business owner will manage and oversee business operations, pay taxes, and take all profits. The major downside of this business entity is that the sole proprietor's business assets and personal property will be exposed to potential liability.
A partnership can be described as an arrangement between two or more individuals who have a common goal of making profits. In a partnership, the partners will act as the business's co-owners. Together, they will monitor business operations and share both the profits and losses. However, like a sole proprietorship, the partners may be held accountable for all business liabilities and debts, as well as the partnership's actions.
Limited Liability Company (LLC)
A limited liability company is a business structure whereby the owners or "members" are protected against personal liability or debts. Essentially, the LLC members won't be held personally liable for the company's liabilities and debts. Many new businesses and startups in the Commonwealth of Pennsylvania and across the United States now choose an LLC as their business structure. This is essentially due to the flexibility and protection it offers.
A corporation is a legal entity that offers liability protection to its directors, officers, and shareholders. Generally, only the corporation will be held responsible for corporate debts, liabilities, or negligence. However, corporations have expensive administrative costs and strict tax requirements.
Establishing the Necessary Contracts
All businesses are involved in transactions with other individuals or entities. In order to provide clarity on the form of transactions or expectations, protect your business, and prevent possible disputes, you will need to establish the necessary contracts. Here are some common contracts to draft for your new startup venture:
General business agreements for your industry
Assignment of inventions agreements
LLC operating agreements
Confidentiality, non-circumvention, and non-disclosure agreements
A knowledgeable business formation lawyer can help you draft and review all the business contracts and agreements you need when starting your new venture.
Filing Necessary Taxes
Business owners in the Commonwealth of Pennsylvania and other areas throughout the country have an obligation to file their taxes annually. Depending on your business structure or entity, you may be expected to file some of the taxes below:
Local, state, and federal taxes
Sales and use taxes
Corporate net income tax
Business Income & Receipts Tax (BIRT)
An experienced lawyer can help you obtain your state and federal tax ID numbers and ensure that you file your taxes promptly.
Licenses and Permits
Additionally, to operate your business legally in Pennsylvania – including selling products and offering services – you must have the necessary permits and licenses. Based on your sector, industry, or type of business, you may be required to apply for both federal and state licenses and permits.
Business insurance policies are available to offer adequate protection and liability coverage to business owners, partners, entrepreneurs, and other individuals involved in running a business. Depending on your unique situation, you may purchase any of the following policies:
General liability insurance
Professional liability insurance
Workers’ compensation insurance
Business income insurance
Product liability insurance
Home-based business insurance
Commercial property insurance
A trusted attorney can enlighten you about the benefits and provisions of each coverage option and determine the right coverage for your business.
Work With an Experienced Business Law Attorney
Business formation in Pennsylvania often involves several complex processes. Whether this is your first business or you're already a seasoned entrepreneur, getting proper guidance when forming a new business is crucial. At Richard L. Vanderslice, P.C., we have the skills and experience to assist and guide clients through the complexities of business formation.
As your legal counsel, we can help you choose the right business structure, draft and review contracts and legal documentation, and apply for permits and licenses. Also, we can help file the necessary taxes and outline an effective strategy to protect your new business from potential liability. Our skilled attorney will help you navigate every stage of the business formation process and establish a strong legal footing for your startup venture.
Business Formation Attorney Serving Philadelphia, Pennsylvania
If you need detailed guidance on business formation, contact Richard L. Vanderslice, P.C. today to schedule a simple consultation. Our attorney can offer you the personalized legal counsel, assistance, and dedicated advocacy you need to navigate the early development phases of your business. We're proud to serve clients across Philadelphia, Pennsylvania, and the surrounding areas of Philadelphia County, Delaware County, and Montgomery County.