In the Service of Individuals and Businesses in Arizona
Corporate and LLC Services
Whether you own a startup business or an established corporation, DeBenon Legal Document & Support Services can help with your administrative requirements. If you need assistance with continued compliance, administrative support, or bookkeeping, DLDS is ready to meet your needs. Specific services include:
Business/Entity Formation and Compliance
Real Property Transactional Documents
Business Contracts
Company Books and Documentation
Estate Planning /Wills/Trusts
Corporate Filings
New Business Setups
And More…
The Five Types of Business Structures
Sole Proprietorship
This is an unincorporated business with a single owner who pays personal income tax on profits earned from the business. A sole proprietor can either do business under his/her own name or under a fictitious business name (DBA).
However, a sole proprietor is not protected from liabilities attributable to the business because there is no separate legal entity created. Sole proprietorships, for the most part, are established by small retail businesses, consulting services, and independent contractors.
Partnership
Much like a sole proprietorship, a partnership is an arrangement between two or more parties who share management and profits in a business. The partners may be individuals or businesses themselves. Partnerships are relatively easy to start and the partners are not required to pay the same taxes as larger corporations. Any profits and losses are passed through the partners as the business itself does not pay taxes.
However, the responsibility for losses and liabilities is shared in a partnership. Like a sole proprietor, the partners of a general partnership are not protected from liabilities incurred by the business.
Moreover, interpersonal problems may arise between partners if the business was founded on informal agreements. Although not necessary, it is common practice for the terms of the partnership to be set forth in a formal Partnership Agreement.
Corporations
This is a common form of business organization. It is chartered (provided a formal document that creates a legal entity) by a state and given many legal rights as an entity separate from its owners. Corporations have limited liability for its owners, issue shares of stock, and exist as a going concern.
The shareholders dictate who runs the company and how business is conducted through the election of directors. With corporations, input from many people is required and adherence to certain organizational standards is a must. Corporates are to regularly hold yearly shareholders’ meetings and director meetings, maintain corporate records, and file annual reports with the state of incorporation.
S Corporations
A Subchapter S or S Corporation is a slightly different version of a standard corporation (C Corporation), and has similarities to that of a limited liability company or Partnership. S Corporations pass all profits, losses, and tax deductions to their shareholders, rather than absorbing them as their own entity. All earnings are declared by the shareholders on their personal tax returns and are not reflected in the company.
However, S Corporations have limitations on who may be a shareholder and how many they can have. S Corporations have a maximum of 100 shareholders, and all shareholders must have United States citizenship or legal residence status. Similar to other corporations, formalities like annual meetings, maintenance of minute books, and state filings must
be also upheld.
Limited Liability Company (LLC)
LLCs are a combination of the elements of a corporation and a partnership or sole proprietorship. Much like corporations, the owners will not be personally accountable for debts and other liabilities. Like partnerships and sole proprietorships, the LLC itself does not pay taxes. It passes through any profit or losses to the individual partners. There is also a method to elect LLCs to be taxed as S corporations.
This business structure is relatively simple to create and allows for quick operation. Since LLCs are relatively new, there are also fewer legal precedents controlling their actions. For example, there are no restrictions on the number of members and those interested in joining are not required to be United States citizens or legal residents. Moreover, membership interests can be placed in a living trust.
CORPORATE/PARTNERSHIP/LLC ENTITY FORMATION AND COMPLIANCE
What is an Arizona Legal Document Preparer?
In Arizona, individuals who prepare legal documents are certified by the Arizona Supreme Court. In order to achieve the certification necessary to operate as a legal document preparer, we must first satisfy requirements for experience, knowledge, ethics, and a thorough FBI background check.
It is with this background that we have established a proven ability to organize, promote, and assist clients in structuring a business which satisfies legal requirements and practical goals.
DeBenon Legal Document & Support Services provides the following business related services (estimated costs):
Corporate Formation Package, which Includes: Articles/Bylaws/Initial Organizational Minutes/Stock Certificates – $400
Limited Liability Company Formation Package, which Includes: Articles/Operating Agreement/Membership Certificates – $400
Partnership Agreement – $300
Minutes of Annual Meeting/Directors/Shareholders – $150
Assignment of Membership Interest – $75
Resignation of Membership Interest – $75
DLDS also provides continued support to our clients through administrative and accounts setup and monthly bookkeeping. Rates are as follows:
Initial Setup – Starts at
$750
Monthly Bookkeeping – Starts at $250
Administrative Services – Starts at $250
Additional monthly services such as Accounts Payable (AP) and Accounts Receivable (AR) management are available as well.