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Overview of Business Formation Services

Why should you register a business?

Registering a business is one of the most important steps you can take as an entrepreneur. It goes beyond simply giving your business a legal identity—it’s about laying a solid foundation for growth, protecting your assets, and ensuring that your venture is recognized and respected in the marketplace.

Whether you’re just starting out or looking to formalize your operations, business registration offers a range of benefits that can significantly increase the chances of success and sustainability of your enterprise. From legal protections to tax advantages, brand security, and access to funding, registering your business is a critical investment in your future.

Here’s an in-depth look at why registering your business is essential and its key advantages.

Greater Legal Protection

Registering your business as an LLC or corporation separates your personal assets from your business liabilities. This means that if your business faces legal action or debt, your personal property is generally protected.

Separate
Legal Identity

A registered business is recognized as a separate legal entity, which can own assets, enter contracts, sue, and be sued independently of its owners.

Enhanced
Trust

Registering your business shows that you are serious about your business and can enhance your credibility with customers, suppliers, and partners.

Better
Opportunities

Registered businesses can access financing options that are not available to unregistered entities, such as business loans, lines of credit, and investment from venture capitalists.

Greater
Tax Benefits

Depending on your business structure, registration can offer tax benefits, such as deductions on business expenses, pass-through taxation for LLCs, or lower corporate tax rates.

Stronger Brand Protection

Registering your business name can help protect your brand from being used by others. It also makes it easier to apply for trademarks, which further secures your brand identity.

Improved Business Continuity

A registered business can continue to exist even if ownership changes, ensuring the longevity of the business beyond the original owners.

Better
Compliance

Registering your business ensures that you comply with federal and state laws, including the requirement to file annual reports, maintain licenses, and adhere to tax regulations.

Why you need an attorney to help with business formation

Forming a business is exciting, but it also involves navigating a complex web of legal requirements and decisions that can have long-lasting implications for your company. While it’s possible to handle some aspects of business formation on your own, having an experienced attorney by your side can help ensure that your business is set up for success.

Here’s why you need an attorney to help with business formation:

Legal guidance

One of the first decisions you’ll need to make is choosing the right legal structure for your business—whether it’s an LLC, corporation, partnership, or sole proprietorship. An attorney can explain the advantages and disadvantages of each structure, helping you choose the one that best fits your business goals, risk tolerance, and tax situation.

Proper documentation and filing

Forming a business involves a variety of legal documents, such as articles of incorporation, operating agreements, bylaws, and more. An attorney ensures that all paperwork is accurately completed, properly filed, and compliant with state and federal laws.

Making mistakes in the formation process can lead to delays, additional costs, or even legal challenges down the road. An attorney can help you avoid common pitfalls and ensure that your business is legally sound from the start.

Protection of your interests

The main reason to form a legal entity is to protect your personal assets from business liabilities. An attorney can help set up your business structure to provide maximum liability protection, reducing the risk that your personal property could be at stake in a lawsuit or debt collection.

Navigating tax and regulatory compliance

The tax implications of different business structures can be complex. An attorney can work with your accountant to develop a tax strategy that minimizes your tax burden while ensuring compliance with tax laws.

Plus, depending on your industry, you may need to meet specific regulations and licensing requirements. An attorney can help you navigate these regulations, ensuring that your business is in compliance and avoiding potential fines or penalties.

Dispute resolution and legal defense

An attorney can help you establish strong legal foundations that minimize the risk of disputes. If a dispute does arise, having an attorney who is already familiar with your business can be invaluable. They can represent you in negotiations, mediations, or court proceedings, resolving issues efficiently and effectively.

While it’s possible to form a business on your own, the risks involved make it a smart decision to seek the assistance of an experienced corporate lawyer.

Frequently ASked Questions

What is the right corporate structure for my business?
Common corporate structures include LLCs, corporations (C and S corporations), and sole proprietorships. The right choice depends on your business goals, the level of personal liability protection you need, tax implications, and your plans for growth.
Yes. You can change your business structure as your company grows or your needs change. For example, you can convert from a sole proprietorship to an LLC or from an LLC to a corporation. This process can involve additional legal and tax considerations, so consult with an attorney before making any changes.
The time it takes to form a business can vary depending on the type of entity and the state where you’re registering. Generally, it can take anywhere from a few days to several weeks.
If you plan to conduct business in multiple states, you may need to register your business as a foreign entity in each state.
To form an LLC, you’ll typically need to file articles of organization and create an operating agreement. For a corporation, you’ll need to file articles of incorporation and draft bylaws. Additional documents may be required depending on your state and business structure.
A DBA (doing business as) allows you to operate your business under a name different from your entity’s legal name. It’s often used when the owner of a sole proprietorship or a corporation wants to run multiple businesses without creating separate legal entities.
The main difference lies in taxation. A C corporation is taxed separately from its owners, while an S corporation allows profits and losses to pass through to the owners’ tax returns.
An LLC offers more flexibility in management and fewer formalities than a corporation. It also provides personal asset protection, similar to a corporation.
A sole proprietorship is simpler to set up but doesn’t offer personal liability protection. An LLC provides liability protection, separating your assets from your business debts.
LLCs and corporations have various tax options, with LLCs often being taxed as pass-through entities. Nonprofits with 501(c)(3) status are exempt from federal income taxes.
LLCs and corporations provide limited liability protection, meaning that your assets are protected from business liabilities and debts.
Hear from our clients
Client Testimonials
Starting a new business in DC, I need a lot of help and guidance. DBL took the time to clearly explain everything and follow up calls to insure everything went as planned. I never felt rushed on the phone or like I was "bugging" them, I also felt like a valued client.
Scott S.
Scott S.
Whether you're looking for sound legal counsel on equity sharing plans as a startup, contract formulation and review, fundraising documents, patent prosecution or any other legal matter, THEY are your Go-To team!
PLURIBUS Inc.
PLURIBUS Inc.
I received an excellent consultation that wasn’t rushed. The attorney answered all of my questions and gave me reasonable guidance on the next steps I should take. Thank you.
Kristina S.
Kristina S.
Tom was extremely helpful and knowledgeable. He listened to the issue, reviewed the contract in question and left me with the piece of mind of knowing that the contract worked in my favor. Received great legal advice and would definitely contact him again.
Kathaleen
Kathaleen
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Intern Program

As part of our effort to recruit, develop and retail the best and brightest attorneys, Dunlap Bennett & Ludwig offers a summer intern program for promising law school students who are looking to work as part of an innovative and incredibly successful team. With a global team of lawyers, selected candidates are able to work on high level projects in a collaborative space.

Paralegals and Legal Support Staff

At Dunlap Bennett & Ludwig, our team of paralegals and staff work together collaboratively along side our attorneys toward a common goal. We have created a positive work environment where our paralegals and legal assistants work to successfully reach firm-wide goals and support each other to combine individual strengths to enhance team performance. They regularly assist our attorneys with organizing and maintaining files, conducting legal research, and preparing documents.