I’m about 6 years behind incorporating my business Then Comes Paper because it just seems so daunting. More urgently that incorporating THen Comes Paper is incorporating my other business, RGV Moms Blog because that business operates as a partnership.
The first source I’d say to look to is the Texas Secretary of State’s website. The forms seem easy enough and I’m wondering why I never started there to begin with. I just assumed I’d need an attorney to do this for me because it was complicated.
I’ll be working in this this month to retry to get it all wrapped up soon. I had two main questions for my particular cases.
1. If a business is a partnership as RGVMB is, would I file as an LLC or and LLP? From what I’ve read, there doesn’t seem to be much difference between the two. They both afford you the same structural and tax benefits as a sole proprietorship or a partnership, which is key. According to this article, the main difference is in regards to their liability, “LLPs must have at least one managing partner who bears liability for the partnership’s actions. With an LLP, whoever is in charge is legally exposed in the same way owners of a simple partnership are exposed.” That’s a scary-as-shit idea considering one of the main reasons we’re considering incorporating is to reduce our liabilities. For this reason, an LLC is the most desireable legal business formation.
2. Can I have multiple businesses under one umbrella in an LLC? First Comes Love Then Comes Paper has a few other small businesses unbrella-d under it since not only do we offer invitations but we also offer printables, wall art and decor, and personalized shirts. Turns out you can! Why would someone want to do that? One reason is to reduce paperwork and fees required to operate and maintain several LLC’s. Another is to provide added credibility for the business. Here are two resources I found valuable information on this. How to Structure Multpiple Businesses Under One Roof and another on Small Biz Trends
Once this is all figured out and implemented, we’re hoping to start our Estate Planning and learning more about LLC’s and Estate Planing.