At the beginning of your business’ life cycle, an experienced Virginia business formation lawyer is an essential part of your team. At Sodowsky Law Firm, PC we guide businesses through the formation process, with an eye on both your short and long-term goals. We understand that business formation and startup success are vital to Virginia’s economy and we’re proud to serve our state’s entrepreneurs.
Offering Comprehensive Business Formation for Virginia Startups
We’ll help you understand the types of business entities available today, how to maximize the legal benefits of each, and which may be best for you. We draft articles of incorporation, operating and membership agreements, partnership agreements and other required documents, and we can help plan for financing or initial capitalization no matter which type of business entity you choose, including:
- Sole proprietorships
- General partnerships
- Limited partnerships (LPs)
- Limited liability companies (LLCs)
- Join ventures
- Corporations including S-corporations, nonprofit corporations, and professional service corporations
- Limited liability partnerships (LLPs)
However, our services extend beyond simply completing the state’s required registration forms.
We consider ourselves part of our clients’ team. When you work with a business formation lawyer at our firm, we start by getting to know your business’ mission and goals. Every startup and industry is unique and faces its own challenges. Once we understand our clients’ operations and ideal outcomes, we carefully assess their business formation options and help them craft a plan.
Helping You With Issues Critical to Business Formation
You’ll see what activities are critical to the formation of a business, such as:
- Funding strategies
- Insulating an owner’s assets from management liabilities
- Capitalizing on fringe and tax benefits, special uses, and business and estate
- planning purposes of a given entity
- Protecting business assets and proprietary rights
- Creation of key relationships, including the use of independent contractors
- Proper corporate operations and legal procedure
We’ll help you look ahead and plan for the issues that traditionally arise at the end of the company’s life. We can help you avoid deadlock between owners, position your business for successful sale, and properly dissolve your business when there is no buyer or after the assets are sold.
Guiding You Through Decisions That Will Impact Your Business Entity
Each business structure has its advantages and disadvantages. For example, let’s consider business liability. As a sole proprietor or general partner, you are personally liable for your business’ debts and obligations. This means that your business’ creditors could demand payment from your personal assets. Corporations, LLCs, LPs, and LLPs offer more protection — when they’re properly formed and operated.
An experienced business formation lawyer will educate you about the liability, tax, and other issues that could impact your business’ operations and bottom line. Armed with practical advice from one of our business formation lawyers, our clients can make better decisions about business organization and other startup issues.
We Work With Experts Who Specialize in Helping Small Businesses
We can also help you coordinate your use of professionals who specialize in helping small businesses, including:
- Accounting and tax professionals
- Banks that work well with small and growing businesses
- Insurance brokers
- Marketing and management consultant
But if you already have your own professionals, we’ll work closely with them to provide a continuity of service that protects your interests.
What Is the Business Formation Process?
In Virginia, most new businesses must register with the Business Registration Division (BREG) of the Department of Commerce and Consumer Affairs (DCCA). BREG also publishes searchable databases of business registration and name data.
Typically, a business registration must disclose the startup’s name, purpose, locations, and its registered agent. If you are creating a corporation, you must also submit a copy of its Articles of Incorporation. LLCs and corporations can also choose to provide BREG with a copy of their business’ operating agreement or bylaws. A business formation lawyer can guide you through this process and decisions.
Once you file these documents, you’ve formed a business in the state’s perspective. However, an experienced business formation lawyer will tell you it’s only one step in a very complicated process.
Why Does My Startup Need a Business Formation Lawyer?
Starting a business involves much more than completing a form. It also required more than hiring employees, finding office space, and publishing a website. A successful startup typically must:
- Create a strategic business plan
- Assess the tax and liability implications of your organization
- Register with the State of Illinois
- Obtain financing for your startup costs
- Create policies and contracts that frame your business’ operations
- Obtain relevant licenses and insurance coverage
- Request an employer identification number (EIN) from the IRS
- Register with the Illinois Department of Taxation (DOT)
- Negotiate and draft contracts with business partners for goods and services
- Comply with an array of federal, state, and local laws and regulations
Without experienced legal counsel, it’s easy to make mistakes. Missing a form, failing to obtain a license, or ignoring a regulation can lead to catastrophic delays and expenses. While your startup might survive these mishaps, many do not. Many new businesses close in their first five years of operation.
While business startup and development are at the front of your mind, a business formation lawyer should look at the long-term implications of your decisions. Whether it’s guiding you through a license application or educating you about Virginia’s wage and hour laws, a business formation lawyer focuses on their clients’ growth and success.
We help businesses evaluate and understand their legal options and obligations, offering practical advice at every step. They also guide clients through the detailed process of crafting a strategic plan, negotiating contracts, and drafting their business’ documents, policies, and procedures.
And if disputes arise, Sodowsky Law Firm, PC’s experienced litigation team can step in and assist your startup.
Schedule Your Consultation With a Virginia Business Formation Lawyer
If you’re considering opening a new business or need help with your startup, contact a business formation lawyer at Sodowsky Law Firm, PC today.