Are you an entrepreneur struggling to decide how to form your business? You may be wondering whether you should:
- start the business without assistance;
- use an online platform to assist in filing; or
- hire an attorney.
Which option to choose depends on the complexity of your business and its structure.
1. STARTING A BUSINESS WITHOUT ASSISTANCE
There is a wealth of information on the internet that can provide you general concepts on how to form a business. Articles, websites, and blogs are readily available that outline the fundamental differences, advantages, and disadvantages of various types of legal entities. They often provide free sample forms, checklists, explanations, and state or federal filing fee schedules.
The greatest disadvantage with this approach, however, is that such sources do not offer legal advice, and cannot explain how to adapt or apply the complex legalities to your entity. Thus, while the internet is a wonderful resource to gain the initial understanding of what legal entities are available, you may be left with unanswered questions as to how your particular entity should be structured.
2. USING AN ONLINE PLATFORM
If the prospect of forming or restructuring a business alone seems too daunting, or questions remain after an online search, you may think about looking to various online platforms. These platforms charge hundreds, sometimes thousands, of dollars to “assist” in starting or restructuring a business. They provide research materials, forms, and fee schedules. They are required by law, however, to disclose that they can neither offer legal advice nor provide specific, detailed guidance to help in determining what entity you should form.This option is remarkably similar to the first, starting a business without any assistance, with one major difference: it costs money. It seems that the role of an online platform is to provide a form-filling template that expedites the process. Ultimately, along with significant costs, you are left to decide how to structure your business.
3. USING AN ATTORNEY
If researching online articles, blogs, and websites, or attempting to use an online platform leaves questions unanswered as to how the confusing concepts apply to your business, the assistance of a qualified attorney is the solution. Only an attorney, unlike the two options above, can offer detailed advice as to how to best structure your business to reach your unique business goals.
If you are an entrepreneur and have questions about the structure or complexity of your entity, contact us at (480) 833-1113.