Michigan LLC Formation Lawyer
The benefits of utilizing the limited liability structure include:
- Increased flexibility within corporate governance,
- Liability shields for owners against personal liability from business obligations under normal business circumstances, and
- “Pass-through” taxation by the IRS, which can allow early company losses in the start –up phase to be passed through to owners, and the elimination of “double taxation” at later stages when the company is profitable.
These are only a few of the advantages of LLC’s; to determine if an LLC is right for your business needs, we can help you address the key considerations in determining the best business entity to form for your business.
Michigan LLC's - What are the Requirements for Establishing an LLC
In the State of Michigan, the following actions are required to form an LLC:
- Choose a name for your LLC – the name cannot be the same or confusingly similar to another Michigan LLC, and must include the words “LLC,” “Limited Liability Company,” “Limited Liability Co.,” “L.L.C.,” or “LLC.”
- Submit Articles of Organization to the Michigan Department of Regulatory Affairs.
- Select a registered agent - this must be a person or business entity that agrees, among other matters, to accept service of process for the new business.
- Develop an Operating Agreement for the LLC – although this is not required by Michigan state statute, we highly recommend this agreement. An Operating Agreement typically sets for the key provisions under which the business will be managed.
- Comply with LLC tax and reporting requirements.
Experienced legal guidance at the inception of your business will provide a firm foundation for your company to grow upon. With decades of business law practice, we can provide you with counsel and direction to support your business in the years to come. Business legal risk mitigation and correctly followed procedure can mean the difference between success and failure for your business.