Small Law Firms in Kansas City, MO

Kansas City Small Law Firms

Call us today at (913) 225-8215 to get the best business counsel around. Corporate law is a broad area of the legal field. It covers many different types of laws and many different topics. This article briefly describes generally exactly what business law is and how it is made use of. Definition of Corporate Law Corporate law encompasses all the laws that dictate how to form and run a company. This consists of all of the laws that govern how to begin, buy, close and handle or offer any type of business. Business laws establish the rules that businesses ought to follow. A smart business owner will certainly be generally familiar with corporate laws and understand when to seek the recommendations of a certified corporate counsel. Corporate law includes state and federal laws, along with administrative policies. Let's take a look at a few of the locations consisted of under the umbrella of business law.

Business Attorneys

Call us today at (913) 225-8215 to get the best business counsel around.

Here is a great article from hg.org which you can find at http://www.hg.org/corp.html

What is Business Law in Kansas City?

Business law in Kansas City, MO deals with the creation of new businesses and the issues that arise as existing businesses interact with the public, other companies, and the government. This area of the law draws on a variety of legal disciplines, including tax law, intellectual property, real estate, sales, employment law, bankruptcy, and others. Business law attorneys specialize in transactional work, meaning they do not represent clients in court. In fact, business lawyers are often hired for the purpose of avoiding future litigation.

To understand the role of business law within the legal system, it helps to view businesses as entities separate from their owners and employees. Just like individuals living together in society, business entities are subject to legal rules designed to give every participant in the marketplace a fair opportunity to succeed.

An enforceable system of business laws also benefits the economy as a whole and provides for more efficient transactions. For example, a supplier who sells goods on credit can be confident that the buyer will held to the agreed payment terms. As long as the contract is drafted and executed in accordance with the Uniform Commercial Code (UCC) adopted in that jurisdiction, the supplier knows ahead of time it will be able to enforce the contract against the buyer if necessary.

Business Formation and Internal Agreements in Missouri

New companies must take steps to comply with the law even before opening their doors for the first time. Business law attorneys are routinely asked to form new entities on behalf of their clients by filing the necessary documents with the Secretary of State. Clients may also need assistance choosing the business entity best suited for their enterprise.

Businesses can be formed as corporations, limited liability companies (LLCs), partnerships, and other entities. Most of these business forms can be further customized to meet the needs of the company. Examples include corporations formed as “S-corps” in order to achieve tax savings, and partnerships formed as “limited partnerships” to allow some owners to participate as investors only.

While the selection of the appropriate business entity will depend on numerous factors, the primary purpose of most entities is to shield owners from individual liability. Operating a business that is not set up to provide limited liability means that the owners are putting all of their personal assets within reach of the business’s creditors. By working with an attorney at the inception of the business, this situation can easily be avoided.

Business law attorneys are also available to draft the internal agreements that will control how a new company is managed. A common example is an LLC operating agreement. This document should be drafted with care, as it governs how the company’s owners will share profits and losses, make important business decisions, and transfer their ownership rights. You really need to understand Small Law Firms in Kansas City.

Business Lawyers

Navigating Complex Transactions in Kansas City, MO

Some commercial transactions are within the ability of business owners to handle on their own. Others are not, especially when a deal touches on complicated and evolving areas of the law, such as securities regulation or internet commerce. In heavily-regulated industries in particular, companies rely on their in-house or hired lawyers for advice regarding the latest legal developments affecting their businesses.

Even for savvy business people, problems can develop when emotions become involved. Attorneys can provide valuable insight into a transaction, not only because of their legal training, but also because of the objective nature of their analysis. This allows them to spot issues overlooked by business owners and managers who may be too emotionally invested in seeing the deal go through.

Preemptive Measures to Avoid Litigation in Missouri

One way to distinguish business law as its own field of practice is to take note of when these issues arise. Business law provides rules and guidance for companies to follow before disputes occur. Attorneys who practice in this area are experts at structuring transactions to minimize the company’s exposure to litigation. This sort of strategic legal maneuvering can end up saving the company huge amounts of money.

Consider the example of a services company headquartered in one state, with customers all across the nation. The company might hire a lawyer to draft customer agreements that require customers to follow specific dispute procedures, such as giving the company an opportunity to remedy deficient services before a legal claim is made, or providing that disputes must be submitted to arbitration in the company’s home state. In every industry, there are opportunities for business attorneys to save their clients money and provide them with a greater competitive advantage. It’s great to know Small Law Firms in Missouri.

Corporate Lawyers

Hiring Legal Counsel in Kansas City, Missouri

Call us today at (913) 225-8215 to get the best business counsel around.

If you operate an existing business or plan to launch a new one in Kansas City, your success may depend on obtaining the right legal advice. Attorneys are available to assist with everything from simple buy/sell agreements to mergers and acquisitions of publicly-traded companies. Schedule a consultation with a business law firm today.

Understanding the Differences Between Corporations, LLC’s, and Partnerships in Kansas City

Call us today at (913) 225-8215 to get the best business counsel around.

Ownership in Missouri

In a corporation, the owners are called “shareholders.” The owners of an LLC are called “members.” An LLC has complete freedom to distribute its ownership stake to its members without any regard to a member’s capital contribution to an LLC. This becomes important when profits are distributed to each member. Although a certain member may not have invested as much as another member, an LLC’s operating agreement may specify that all members receive an equal share of the profits.

A Missouri corporation can theoretically do the same by creating a unique stock class structure, but this is limited to C-corps. Unfortunately, a business that wants to be identified as an S-corp to avoid double taxation cannot create a unique stock class structure. As a pre-requisite, an S-corp must have a single class of stocks with its dividends distributed in proportion to a shareholders capital investment. Thus, in order for a corporation to create a unique stock class structure, it must be subject to the double taxation.

The owners of a partnership are, not surprisingly, called “partners.” There is no requirement for a formal written agreement in most jurisdictions when creating a partnership, and the partners of a partnership own all of their company’s assets and liabilities personally in proportion to their ownership interest in the company.


Call us today at (913) 225-8215 to get the best business counsel around.

Taxation in Missouri

We have already touched on this a little, but there are complicated and variable rules regarding taxation among the various business entities. Corporation profits are not subject to Social Security and Medicare taxes. Like a sole proprietorship or a partnership, the salaries and profits of an LLC are subject to self-employment taxes unless the LLC opts to be taxed as a corporation. With a corporation, only salaries (not profits) are subject to such taxes.

An LLC has complete flexibility on how it wants to be taxed whereas a corporation may not. A major disadvantage to the corporate designation (at least for C-corps) is its double taxation implications. A corporation’s profit is taxed once (corporate tax), and the dividends its shareholders receive is then taxed again (individual tax). The S-corporation designation does allow flow-through taxation (no corporate tax), but there are certain requirements to qualify as an S-corp that may limit its application for some businesses, particularly those that want to sell shares to raise capital. Depending on the circumstances of a corporation, it may have no choice but to be a C-corp and face double taxation.

An LLC in Missouri, on the other hand, no matter its structure or organization, can choose how it wants to be taxed. By default, an LLC is treated as a “pass-through” entity (single taxation), but can elect to be taxed as a C-corp or an S-corp (if it qualifies). If a business qualifies as an S-corp, the tax difference between an LLC and S-corp are a bit more nuanced. Both an LLC and an S-corp has flow through taxation (no double taxation). However, an LLC’s distribution of profits is subject to an employment tax, whereas an S-corp’s dividends are not. With careful planning, a small business can avoid significant employment taxes by electing to become an S-corp. There are a few other reasons (like much more paperwork) that may deter a small business from taking this advantage, but you should consult with either an attorney or an accountant experienced with corporate set-up before making a decision on whether to be taxed as an LLC or S-corp.

Partnerships and sole proprietorships in Missouri, on the other hand, are taxed directly on the partners’ respective incomes. Because all assets and liabilities are considered to be those of the owners themselves, any gains or losses made by the company are taxed directly to the partners in proportion to their ownership interest in the company. There are also fewer deductible business expenses available to partnerships. But, because the taxes are done directly from the partners’ own incomes, there is very little additional paperwork.

Business Law

Kansas City Operations

While corporations must hold regular meetings of the board of directors and shareholders and keep written corporate minutes, members and managers of an LLC need not hold regular meetings, which reduces complications and paperwork. S corporations cannot have more than 100 shareholders. Each shareholder must be an individual who is a U.S. resident or citizen. Also, it is difficult to place shares of an S corporation into a living trust. These restrictions do not apply to LLCs (or C corporations).

Members who are active participants in an LLC’s business can deduct operating losses against their regular income to the extent permitted by law. While S corporation shareholders can also deduct operating losses, C corporation shareholders cannot.

Corporations in Kansas City can offer a greater variety of fringe benefit plans than any other business entity. Various retirement, stock option, and employee stock purchase plans are available only for corporations. While sole proprietors, partners, and employees owning more than 2% of an S corporation must pay taxes on fringe benefits (such as group-term life insurance, medical reimbursement plans, medical insurance premiums and parking), shareholder-employees of a C corporation do not have to pay taxes on these benefits.

Partnerships have the least restriction because they have the least advantages. Partnerships need not have meetings, special paperwork, and are not bound by limitations on ownership.

Small Law Firms

Conclusion

Corporations, LLC’s, and partnerships in Kansas City all have unique advantages and disadvantages, and any of them may be a great idea for forming your business depending on your unique situation and legal requirements. Of course, your best bet is to consult with an attorney or accountant who is experienced in setting up different business entities to give you clear guidance on which structure will be best for your particular situation and tax needs.

Call us today at (913) 225-8215 to get the best business counsel around. Starting a Business Much of business law addresses the various types of business companies. What documents do I need to file in order to begin this business? These concerns fall under the laws that govern company entities, which are state laws. Next, exactly what will my company be called? The federal law governs most intellectual commercial property law. I need to understand if I'll need any unique type of license for this business. There are numerous laws that concern managing a business since there are numerous aspects involved in managing. As you can already see, running a business will certainly include a lot of work law and agreement law. For my brand-new business, I'll have to know how to work with, what my agreements must resemble, what kind of benefits I need to offer, the best ways to pay worker insurance and taxes as well as how to properly fire a staff member. Numerous of these work and benefit laws are federal laws and are managed by government firms. Contact a certified company legal representative today. Call us today at (913) 225-8215 to get the best business counsel around.

Search Lawyers in Kansas City, MO

Kansas City Search Lawyers

Call us today at (913) 225-8215 to get the best business counsel around. Business law is a broad expanse of law. It covers various kinds of laws and various subjects. This article briefly discusses normally what business law is and how it's used. Meaning of Business Law Corporate law includes all of the laws that dictate how to run a business and form. Corporate laws develop the rules that all companies ought to follow. Corporate law consists of state and federal laws, as well as management regulations.

Business Attorneys

Call us today at (913) 225-8215 to get the best business counsel around.

Here is a great article from hg.org which you can find at http://www.hg.org/corp.html

What is Business Law in Kansas City?

Business law in Kansas City, MO deals with the creation of new businesses and the issues that arise as existing businesses interact with the public, other companies, and the government. This area of the law draws on a variety of legal disciplines, including tax law, intellectual property, real estate, sales, employment law, bankruptcy, and others. Business law attorneys specialize in transactional work, meaning they do not represent clients in court. In fact, business lawyers are often hired for the purpose of avoiding future litigation.

To understand the role of business law within the legal system, it helps to view businesses as entities separate from their owners and employees. Just like individuals living together in society, business entities are subject to legal rules designed to give every participant in the marketplace a fair opportunity to succeed.

An enforceable system of business laws also benefits the economy as a whole and provides for more efficient transactions. For example, a supplier who sells goods on credit can be confident that the buyer will held to the agreed payment terms. As long as the contract is drafted and executed in accordance with the Uniform Commercial Code (UCC) adopted in that jurisdiction, the supplier knows ahead of time it will be able to enforce the contract against the buyer if necessary.

Business Formation and Internal Agreements in Missouri

New companies must take steps to comply with the law even before opening their doors for the first time. Business law attorneys are routinely asked to form new entities on behalf of their clients by filing the necessary documents with the Secretary of State. Clients may also need assistance choosing the business entity best suited for their enterprise.

Businesses can be formed as corporations, limited liability companies (LLCs), partnerships, and other entities. Most of these business forms can be further customized to meet the needs of the company. Examples include corporations formed as “S-corps” in order to achieve tax savings, and partnerships formed as “limited partnerships” to allow some owners to participate as investors only.

While the selection of the appropriate business entity will depend on numerous factors, the primary purpose of most entities is to shield owners from individual liability. Operating a business that is not set up to provide limited liability means that the owners are putting all of their personal assets within reach of the business’s creditors. By working with an attorney at the inception of the business, this situation can easily be avoided.

Business law attorneys are also available to draft the internal agreements that will control how a new company is managed. A common example is an LLC operating agreement. This document should be drafted with care, as it governs how the company’s owners will share profits and losses, make important business decisions, and transfer their ownership rights. You really need to understand Search Lawyers in Kansas City.

Business Lawyers

Navigating Complex Transactions in Kansas City, MO

Some commercial transactions are within the ability of business owners to handle on their own. Others are not, especially when a deal touches on complicated and evolving areas of the law, such as securities regulation or internet commerce. In heavily-regulated industries in particular, companies rely on their in-house or hired lawyers for advice regarding the latest legal developments affecting their businesses.

Even for savvy business people, problems can develop when emotions become involved. Attorneys can provide valuable insight into a transaction, not only because of their legal training, but also because of the objective nature of their analysis. This allows them to spot issues overlooked by business owners and managers who may be too emotionally invested in seeing the deal go through.

Preemptive Measures to Avoid Litigation in Missouri

One way to distinguish business law as its own field of practice is to take note of when these issues arise. Business law provides rules and guidance for companies to follow before disputes occur. Attorneys who practice in this area are experts at structuring transactions to minimize the company’s exposure to litigation. This sort of strategic legal maneuvering can end up saving the company huge amounts of money.

Consider the example of a services company headquartered in one state, with customers all across the nation. The company might hire a lawyer to draft customer agreements that require customers to follow specific dispute procedures, such as giving the company an opportunity to remedy deficient services before a legal claim is made, or providing that disputes must be submitted to arbitration in the company’s home state. In every industry, there are opportunities for business attorneys to save their clients money and provide them with a greater competitive advantage. It’s great to know Search Lawyers in Missouri.

Corporate Lawyers

Hiring Legal Counsel in Kansas City, Missouri

Call us today at (913) 225-8215 to get the best business counsel around.

If you operate an existing business or plan to launch a new one in Kansas City, your success may depend on obtaining the right legal advice. Attorneys are available to assist with everything from simple buy/sell agreements to mergers and acquisitions of publicly-traded companies. Schedule a consultation with a business law firm today.

Understanding the Differences Between Corporations, LLC’s, and Partnerships in Kansas City

Call us today at (913) 225-8215 to get the best business counsel around.

Ownership in Missouri

In a corporation, the owners are called “shareholders.” The owners of an LLC are called “members.” An LLC has complete freedom to distribute its ownership stake to its members without any regard to a member’s capital contribution to an LLC. This becomes important when profits are distributed to each member. Although a certain member may not have invested as much as another member, an LLC’s operating agreement may specify that all members receive an equal share of the profits.

A Missouri corporation can theoretically do the same by creating a unique stock class structure, but this is limited to C-corps. Unfortunately, a business that wants to be identified as an S-corp to avoid double taxation cannot create a unique stock class structure. As a pre-requisite, an S-corp must have a single class of stocks with its dividends distributed in proportion to a shareholders capital investment. Thus, in order for a corporation to create a unique stock class structure, it must be subject to the double taxation.

The owners of a partnership are, not surprisingly, called “partners.” There is no requirement for a formal written agreement in most jurisdictions when creating a partnership, and the partners of a partnership own all of their company’s assets and liabilities personally in proportion to their ownership interest in the company.


Call us today at (913) 225-8215 to get the best business counsel around.

Taxation in Missouri

We have already touched on this a little, but there are complicated and variable rules regarding taxation among the various business entities. Corporation profits are not subject to Social Security and Medicare taxes. Like a sole proprietorship or a partnership, the salaries and profits of an LLC are subject to self-employment taxes unless the LLC opts to be taxed as a corporation. With a corporation, only salaries (not profits) are subject to such taxes.

An LLC has complete flexibility on how it wants to be taxed whereas a corporation may not. A major disadvantage to the corporate designation (at least for C-corps) is its double taxation implications. A corporation’s profit is taxed once (corporate tax), and the dividends its shareholders receive is then taxed again (individual tax). The S-corporation designation does allow flow-through taxation (no corporate tax), but there are certain requirements to qualify as an S-corp that may limit its application for some businesses, particularly those that want to sell shares to raise capital. Depending on the circumstances of a corporation, it may have no choice but to be a C-corp and face double taxation.

An LLC in Missouri, on the other hand, no matter its structure or organization, can choose how it wants to be taxed. By default, an LLC is treated as a “pass-through” entity (single taxation), but can elect to be taxed as a C-corp or an S-corp (if it qualifies). If a business qualifies as an S-corp, the tax difference between an LLC and S-corp are a bit more nuanced. Both an LLC and an S-corp has flow through taxation (no double taxation). However, an LLC’s distribution of profits is subject to an employment tax, whereas an S-corp’s dividends are not. With careful planning, a small business can avoid significant employment taxes by electing to become an S-corp. There are a few other reasons (like much more paperwork) that may deter a small business from taking this advantage, but you should consult with either an attorney or an accountant experienced with corporate set-up before making a decision on whether to be taxed as an LLC or S-corp.

Partnerships and sole proprietorships in Missouri, on the other hand, are taxed directly on the partners’ respective incomes. Because all assets and liabilities are considered to be those of the owners themselves, any gains or losses made by the company are taxed directly to the partners in proportion to their ownership interest in the company. There are also fewer deductible business expenses available to partnerships. But, because the taxes are done directly from the partners’ own incomes, there is very little additional paperwork.

Business Law

Kansas City Operations

While corporations must hold regular meetings of the board of directors and shareholders and keep written corporate minutes, members and managers of an LLC need not hold regular meetings, which reduces complications and paperwork. S corporations cannot have more than 100 shareholders. Each shareholder must be an individual who is a U.S. resident or citizen. Also, it is difficult to place shares of an S corporation into a living trust. These restrictions do not apply to LLCs (or C corporations).

Members who are active participants in an LLC’s business can deduct operating losses against their regular income to the extent permitted by law. While S corporation shareholders can also deduct operating losses, C corporation shareholders cannot.

Corporations in Kansas City can offer a greater variety of fringe benefit plans than any other business entity. Various retirement, stock option, and employee stock purchase plans are available only for corporations. While sole proprietors, partners, and employees owning more than 2% of an S corporation must pay taxes on fringe benefits (such as group-term life insurance, medical reimbursement plans, medical insurance premiums and parking), shareholder-employees of a C corporation do not have to pay taxes on these benefits.

Partnerships have the least restriction because they have the least advantages. Partnerships need not have meetings, special paperwork, and are not bound by limitations on ownership.

Search Lawyers

Conclusion

Corporations, LLC’s, and partnerships in Kansas City all have unique advantages and disadvantages, and any of them may be a great idea for forming your business depending on your unique situation and legal requirements. Of course, your best bet is to consult with an attorney or accountant who is experienced in setting up different business entities to give you clear guidance on which structure will be best for your particular situation and tax needs.

Call us today at (913) 225-8215 to get the best business counsel around. Beginning a Business Much of business law addresses the different types of business companies. What documents do I require to file in order to begin this company? These questions fall under the laws that govern company entities, which are state laws. Next, what will my business be called? The federal law governs most intellectual building law. I need to know if I'll require any special type of license for this business. There are many laws that issue managing a business since there are lots of elements involved in handling. As you can already see, running a business will certainly include a lot of employment law and contract law. Call us today at (913) 225-8215 to get the best business counsel around.

Register Law Firm in Kansas City, MO

Kansas City Register Law Firm

Call us today at (913) 225-8215 to get the best business counsel around. Corporate law is a broad expanse of law. It covers many different kinds of laws and various subjects. This article briefly discusses normally what business law is and how it is utilized. Definition of Business Law Business law includes all of the laws that dictate how to run a business and form. Business laws develop the policies that all companies must follow. Corporate law consists of state and federal laws, as well as administrative policies.

Business Attorneys

Call us today at (913) 225-8215 to get the best business counsel around.

Here is a great article from hg.org which you can find at http://www.hg.org/corp.html

What is Business Law in Kansas City?

Business law in Kansas City, MO deals with the creation of new businesses and the issues that arise as existing businesses interact with the public, other companies, and the government. This area of the law draws on a variety of legal disciplines, including tax law, intellectual property, real estate, sales, employment law, bankruptcy, and others. Business law attorneys specialize in transactional work, meaning they do not represent clients in court. In fact, business lawyers are often hired for the purpose of avoiding future litigation.

To understand the role of business law within the legal system, it helps to view businesses as entities separate from their owners and employees. Just like individuals living together in society, business entities are subject to legal rules designed to give every participant in the marketplace a fair opportunity to succeed.

An enforceable system of business laws also benefits the economy as a whole and provides for more efficient transactions. For example, a supplier who sells goods on credit can be confident that the buyer will held to the agreed payment terms. As long as the contract is drafted and executed in accordance with the Uniform Commercial Code (UCC) adopted in that jurisdiction, the supplier knows ahead of time it will be able to enforce the contract against the buyer if necessary.

Business Formation and Internal Agreements in Missouri

New companies must take steps to comply with the law even before opening their doors for the first time. Business law attorneys are routinely asked to form new entities on behalf of their clients by filing the necessary documents with the Secretary of State. Clients may also need assistance choosing the business entity best suited for their enterprise.

Businesses can be formed as corporations, limited liability companies (LLCs), partnerships, and other entities. Most of these business forms can be further customized to meet the needs of the company. Examples include corporations formed as “S-corps” in order to achieve tax savings, and partnerships formed as “limited partnerships” to allow some owners to participate as investors only.

While the selection of the appropriate business entity will depend on numerous factors, the primary purpose of most entities is to shield owners from individual liability. Operating a business that is not set up to provide limited liability means that the owners are putting all of their personal assets within reach of the business’s creditors. By working with an attorney at the inception of the business, this situation can easily be avoided.

Business law attorneys are also available to draft the internal agreements that will control how a new company is managed. A common example is an LLC operating agreement. This document should be drafted with care, as it governs how the company’s owners will share profits and losses, make important business decisions, and transfer their ownership rights. You really need to understand Register Law Firm in Kansas City.

Business Lawyers

Navigating Complex Transactions in Kansas City, MO

Some commercial transactions are within the ability of business owners to handle on their own. Others are not, especially when a deal touches on complicated and evolving areas of the law, such as securities regulation or internet commerce. In heavily-regulated industries in particular, companies rely on their in-house or hired lawyers for advice regarding the latest legal developments affecting their businesses.

Even for savvy business people, problems can develop when emotions become involved. Attorneys can provide valuable insight into a transaction, not only because of their legal training, but also because of the objective nature of their analysis. This allows them to spot issues overlooked by business owners and managers who may be too emotionally invested in seeing the deal go through.

Preemptive Measures to Avoid Litigation in Missouri

One way to distinguish business law as its own field of practice is to take note of when these issues arise. Business law provides rules and guidance for companies to follow before disputes occur. Attorneys who practice in this area are experts at structuring transactions to minimize the company’s exposure to litigation. This sort of strategic legal maneuvering can end up saving the company huge amounts of money.

Consider the example of a services company headquartered in one state, with customers all across the nation. The company might hire a lawyer to draft customer agreements that require customers to follow specific dispute procedures, such as giving the company an opportunity to remedy deficient services before a legal claim is made, or providing that disputes must be submitted to arbitration in the company’s home state. In every industry, there are opportunities for business attorneys to save their clients money and provide them with a greater competitive advantage. It’s great to know Register Law Firm in Missouri.

Corporate Lawyers

Hiring Legal Counsel in Kansas City, Missouri

Call us today at (913) 225-8215 to get the best business counsel around.

If you operate an existing business or plan to launch a new one in Kansas City, your success may depend on obtaining the right legal advice. Attorneys are available to assist with everything from simple buy/sell agreements to mergers and acquisitions of publicly-traded companies. Schedule a consultation with a business law firm today.

Understanding the Differences Between Corporations, LLC’s, and Partnerships in Kansas City

Call us today at (913) 225-8215 to get the best business counsel around.

Ownership in Missouri

In a corporation, the owners are called “shareholders.” The owners of an LLC are called “members.” An LLC has complete freedom to distribute its ownership stake to its members without any regard to a member’s capital contribution to an LLC. This becomes important when profits are distributed to each member. Although a certain member may not have invested as much as another member, an LLC’s operating agreement may specify that all members receive an equal share of the profits.

A Missouri corporation can theoretically do the same by creating a unique stock class structure, but this is limited to C-corps. Unfortunately, a business that wants to be identified as an S-corp to avoid double taxation cannot create a unique stock class structure. As a pre-requisite, an S-corp must have a single class of stocks with its dividends distributed in proportion to a shareholders capital investment. Thus, in order for a corporation to create a unique stock class structure, it must be subject to the double taxation.

The owners of a partnership are, not surprisingly, called “partners.” There is no requirement for a formal written agreement in most jurisdictions when creating a partnership, and the partners of a partnership own all of their company’s assets and liabilities personally in proportion to their ownership interest in the company.


Call us today at (913) 225-8215 to get the best business counsel around.

Taxation in Missouri

We have already touched on this a little, but there are complicated and variable rules regarding taxation among the various business entities. Corporation profits are not subject to Social Security and Medicare taxes. Like a sole proprietorship or a partnership, the salaries and profits of an LLC are subject to self-employment taxes unless the LLC opts to be taxed as a corporation. With a corporation, only salaries (not profits) are subject to such taxes.

An LLC has complete flexibility on how it wants to be taxed whereas a corporation may not. A major disadvantage to the corporate designation (at least for C-corps) is its double taxation implications. A corporation’s profit is taxed once (corporate tax), and the dividends its shareholders receive is then taxed again (individual tax). The S-corporation designation does allow flow-through taxation (no corporate tax), but there are certain requirements to qualify as an S-corp that may limit its application for some businesses, particularly those that want to sell shares to raise capital. Depending on the circumstances of a corporation, it may have no choice but to be a C-corp and face double taxation.

An LLC in Missouri, on the other hand, no matter its structure or organization, can choose how it wants to be taxed. By default, an LLC is treated as a “pass-through” entity (single taxation), but can elect to be taxed as a C-corp or an S-corp (if it qualifies). If a business qualifies as an S-corp, the tax difference between an LLC and S-corp are a bit more nuanced. Both an LLC and an S-corp has flow through taxation (no double taxation). However, an LLC’s distribution of profits is subject to an employment tax, whereas an S-corp’s dividends are not. With careful planning, a small business can avoid significant employment taxes by electing to become an S-corp. There are a few other reasons (like much more paperwork) that may deter a small business from taking this advantage, but you should consult with either an attorney or an accountant experienced with corporate set-up before making a decision on whether to be taxed as an LLC or S-corp.

Partnerships and sole proprietorships in Missouri, on the other hand, are taxed directly on the partners’ respective incomes. Because all assets and liabilities are considered to be those of the owners themselves, any gains or losses made by the company are taxed directly to the partners in proportion to their ownership interest in the company. There are also fewer deductible business expenses available to partnerships. But, because the taxes are done directly from the partners’ own incomes, there is very little additional paperwork.

Business Law

Kansas City Operations

While corporations must hold regular meetings of the board of directors and shareholders and keep written corporate minutes, members and managers of an LLC need not hold regular meetings, which reduces complications and paperwork. S corporations cannot have more than 100 shareholders. Each shareholder must be an individual who is a U.S. resident or citizen. Also, it is difficult to place shares of an S corporation into a living trust. These restrictions do not apply to LLCs (or C corporations).

Members who are active participants in an LLC’s business can deduct operating losses against their regular income to the extent permitted by law. While S corporation shareholders can also deduct operating losses, C corporation shareholders cannot.

Corporations in Kansas City can offer a greater variety of fringe benefit plans than any other business entity. Various retirement, stock option, and employee stock purchase plans are available only for corporations. While sole proprietors, partners, and employees owning more than 2% of an S corporation must pay taxes on fringe benefits (such as group-term life insurance, medical reimbursement plans, medical insurance premiums and parking), shareholder-employees of a C corporation do not have to pay taxes on these benefits.

Partnerships have the least restriction because they have the least advantages. Partnerships need not have meetings, special paperwork, and are not bound by limitations on ownership.

Register Law Firm

Conclusion

Corporations, LLC’s, and partnerships in Kansas City all have unique advantages and disadvantages, and any of them may be a great idea for forming your business depending on your unique situation and legal requirements. Of course, your best bet is to consult with an attorney or accountant who is experienced in setting up different business entities to give you clear guidance on which structure will be best for your particular situation and tax needs.

Call us today at (913) 225-8215 to get the best business counsel around. Beginning a Company Much of business law addresses the different types of business companies. What papers do I require to file in order to start this company? These concerns fall under the laws that govern company entities, which are state laws. Next, exactly what will my business be called? Let's state I pick Shear Insanity as a name for my beauty parlor. Now I have to understand if anyone else already has that name. This is a hallmark concern. Patents, copyrights and hallmarks belong to copyright law. The federal law governs most copyright law. Then I have to know if I'll need any special type of license for this company. Do barbers need a license? Do I need a special city license or other license? How will I advertise my company? Am I permitted to say that I'm the 'finest in town?' I'll have to inspect my regional and state laws to learn. There are numerous laws that issue handling a company due to the fact that there are many aspects involved in managing. As you can already see, running a company will certainly involve a lot of employment law and agreement law. Call us today at (913) 225-8215 to get the best business counsel around.

Legal Business Advice in Kansas City, MO

Kansas City Legal Business Advice

Call us today at (913) 225-8215 to get the best business counsel around. Business law is a broad expanse of the legal field. It covers many different types of laws and various subjects. This article briefly discusses usually exactly what corporate law is and how it is utilized. Meaning of Corporate Law Corporate law incorporates all of the laws that determine how to run a business and form. Business laws establish the rules that all companies must follow. Corporate law consists of state and federal laws, as well as management regulations.

Business Attorneys

Call us today at (913) 225-8215 to get the best business counsel around.

Here is a great article from hg.org which you can find at http://www.hg.org/corp.html

What is Business Law in Kansas City?

Business law in Kansas City, MO deals with the creation of new businesses and the issues that arise as existing businesses interact with the public, other companies, and the government. This area of the law draws on a variety of legal disciplines, including tax law, intellectual property, real estate, sales, employment law, bankruptcy, and others. Business law attorneys specialize in transactional work, meaning they do not represent clients in court. In fact, business lawyers are often hired for the purpose of avoiding future litigation.

To understand the role of business law within the legal system, it helps to view businesses as entities separate from their owners and employees. Just like individuals living together in society, business entities are subject to legal rules designed to give every participant in the marketplace a fair opportunity to succeed.

An enforceable system of business laws also benefits the economy as a whole and provides for more efficient transactions. For example, a supplier who sells goods on credit can be confident that the buyer will held to the agreed payment terms. As long as the contract is drafted and executed in accordance with the Uniform Commercial Code (UCC) adopted in that jurisdiction, the supplier knows ahead of time it will be able to enforce the contract against the buyer if necessary.

Business Formation and Internal Agreements in Missouri

New companies must take steps to comply with the law even before opening their doors for the first time. Business law attorneys are routinely asked to form new entities on behalf of their clients by filing the necessary documents with the Secretary of State. Clients may also need assistance choosing the business entity best suited for their enterprise.

Businesses can be formed as corporations, limited liability companies (LLCs), partnerships, and other entities. Most of these business forms can be further customized to meet the needs of the company. Examples include corporations formed as “S-corps” in order to achieve tax savings, and partnerships formed as “limited partnerships” to allow some owners to participate as investors only.

While the selection of the appropriate business entity will depend on numerous factors, the primary purpose of most entities is to shield owners from individual liability. Operating a business that is not set up to provide limited liability means that the owners are putting all of their personal assets within reach of the business’s creditors. By working with an attorney at the inception of the business, this situation can easily be avoided.

Business law attorneys are also available to draft the internal agreements that will control how a new company is managed. A common example is an LLC operating agreement. This document should be drafted with care, as it governs how the company’s owners will share profits and losses, make important business decisions, and transfer their ownership rights. You really need to understand Legal Business Advice in Kansas City.

Business Lawyers

Navigating Complex Transactions in Kansas City, MO

Some commercial transactions are within the ability of business owners to handle on their own. Others are not, especially when a deal touches on complicated and evolving areas of the law, such as securities regulation or internet commerce. In heavily-regulated industries in particular, companies rely on their in-house or hired lawyers for advice regarding the latest legal developments affecting their businesses.

Even for savvy business people, problems can develop when emotions become involved. Attorneys can provide valuable insight into a transaction, not only because of their legal training, but also because of the objective nature of their analysis. This allows them to spot issues overlooked by business owners and managers who may be too emotionally invested in seeing the deal go through.

Preemptive Measures to Avoid Litigation in Missouri

One way to distinguish business law as its own field of practice is to take note of when these issues arise. Business law provides rules and guidance for companies to follow before disputes occur. Attorneys who practice in this area are experts at structuring transactions to minimize the company’s exposure to litigation. This sort of strategic legal maneuvering can end up saving the company huge amounts of money.

Consider the example of a services company headquartered in one state, with customers all across the nation. The company might hire a lawyer to draft customer agreements that require customers to follow specific dispute procedures, such as giving the company an opportunity to remedy deficient services before a legal claim is made, or providing that disputes must be submitted to arbitration in the company’s home state. In every industry, there are opportunities for business attorneys to save their clients money and provide them with a greater competitive advantage. It’s great to know Legal Business Advice in Missouri.

Corporate Lawyers

Hiring Legal Counsel in Kansas City, Missouri

Call us today at (913) 225-8215 to get the best business counsel around.

If you operate an existing business or plan to launch a new one in Kansas City, your success may depend on obtaining the right legal advice. Attorneys are available to assist with everything from simple buy/sell agreements to mergers and acquisitions of publicly-traded companies. Schedule a consultation with a business law firm today.

Understanding the Differences Between Corporations, LLC’s, and Partnerships in Kansas City

Call us today at (913) 225-8215 to get the best business counsel around.

Ownership in Missouri

In a corporation, the owners are called “shareholders.” The owners of an LLC are called “members.” An LLC has complete freedom to distribute its ownership stake to its members without any regard to a member’s capital contribution to an LLC. This becomes important when profits are distributed to each member. Although a certain member may not have invested as much as another member, an LLC’s operating agreement may specify that all members receive an equal share of the profits.

A Missouri corporation can theoretically do the same by creating a unique stock class structure, but this is limited to C-corps. Unfortunately, a business that wants to be identified as an S-corp to avoid double taxation cannot create a unique stock class structure. As a pre-requisite, an S-corp must have a single class of stocks with its dividends distributed in proportion to a shareholders capital investment. Thus, in order for a corporation to create a unique stock class structure, it must be subject to the double taxation.

The owners of a partnership are, not surprisingly, called “partners.” There is no requirement for a formal written agreement in most jurisdictions when creating a partnership, and the partners of a partnership own all of their company’s assets and liabilities personally in proportion to their ownership interest in the company.


Call us today at (913) 225-8215 to get the best business counsel around.

Taxation in Missouri

We have already touched on this a little, but there are complicated and variable rules regarding taxation among the various business entities. Corporation profits are not subject to Social Security and Medicare taxes. Like a sole proprietorship or a partnership, the salaries and profits of an LLC are subject to self-employment taxes unless the LLC opts to be taxed as a corporation. With a corporation, only salaries (not profits) are subject to such taxes.

An LLC has complete flexibility on how it wants to be taxed whereas a corporation may not. A major disadvantage to the corporate designation (at least for C-corps) is its double taxation implications. A corporation’s profit is taxed once (corporate tax), and the dividends its shareholders receive is then taxed again (individual tax). The S-corporation designation does allow flow-through taxation (no corporate tax), but there are certain requirements to qualify as an S-corp that may limit its application for some businesses, particularly those that want to sell shares to raise capital. Depending on the circumstances of a corporation, it may have no choice but to be a C-corp and face double taxation.

An LLC in Missouri, on the other hand, no matter its structure or organization, can choose how it wants to be taxed. By default, an LLC is treated as a “pass-through” entity (single taxation), but can elect to be taxed as a C-corp or an S-corp (if it qualifies). If a business qualifies as an S-corp, the tax difference between an LLC and S-corp are a bit more nuanced. Both an LLC and an S-corp has flow through taxation (no double taxation). However, an LLC’s distribution of profits is subject to an employment tax, whereas an S-corp’s dividends are not. With careful planning, a small business can avoid significant employment taxes by electing to become an S-corp. There are a few other reasons (like much more paperwork) that may deter a small business from taking this advantage, but you should consult with either an attorney or an accountant experienced with corporate set-up before making a decision on whether to be taxed as an LLC or S-corp.

Partnerships and sole proprietorships in Missouri, on the other hand, are taxed directly on the partners’ respective incomes. Because all assets and liabilities are considered to be those of the owners themselves, any gains or losses made by the company are taxed directly to the partners in proportion to their ownership interest in the company. There are also fewer deductible business expenses available to partnerships. But, because the taxes are done directly from the partners’ own incomes, there is very little additional paperwork.

Business Law

Kansas City Operations

While corporations must hold regular meetings of the board of directors and shareholders and keep written corporate minutes, members and managers of an LLC need not hold regular meetings, which reduces complications and paperwork. S corporations cannot have more than 100 shareholders. Each shareholder must be an individual who is a U.S. resident or citizen. Also, it is difficult to place shares of an S corporation into a living trust. These restrictions do not apply to LLCs (or C corporations).

Members who are active participants in an LLC’s business can deduct operating losses against their regular income to the extent permitted by law. While S corporation shareholders can also deduct operating losses, C corporation shareholders cannot.

Corporations in Kansas City can offer a greater variety of fringe benefit plans than any other business entity. Various retirement, stock option, and employee stock purchase plans are available only for corporations. While sole proprietors, partners, and employees owning more than 2% of an S corporation must pay taxes on fringe benefits (such as group-term life insurance, medical reimbursement plans, medical insurance premiums and parking), shareholder-employees of a C corporation do not have to pay taxes on these benefits.

Partnerships have the least restriction because they have the least advantages. Partnerships need not have meetings, special paperwork, and are not bound by limitations on ownership.

Legal Business Advice

Conclusion

Corporations, LLC’s, and partnerships in Kansas City all have unique advantages and disadvantages, and any of them may be a great idea for forming your business depending on your unique situation and legal requirements. Of course, your best bet is to consult with an attorney or accountant who is experienced in setting up different business entities to give you clear guidance on which structure will be best for your particular situation and tax needs.

Call us today at (913) 225-8215 to get the best business counsel around. Starting a Company Much of business law addresses the different types of company companies. What documents do I require to file in order to start this company? These questions fall under the laws that govern business entities, which are state laws. Next, what will my company be called? Let's say I choose Shear Insanity as a name for my beauty parlor. Now I have to understand if any individual else currently has that name. This is a trademark concern. Patents, hallmarks and copyrights are part of intellectual property law. The federal law governs most intellectual property law. I require to know if I'll require any special type of license for this company. Do barbers require a license? Do I need a special city license or other permit? How will I advertise my business? Am I allowed to say that I'm the 'finest in the area?' I'll have to check my regional and state laws to learn. There are lots of laws that issue managing a company due to the fact that there are numerous elements involved in handling. As you can currently see, running a company will include a lot of employment law and agreement law. For my brand-new business, I'll have to know ways to work with, what my contracts should resemble, what kind of benefits I need to offer, how to pay staff member insurance coverage and taxes and even ways to effectively fire a worker. Many of these work and advantage laws are federal laws and are controlled by government agencies. Contact a qualified business lawyer today. Call us today at (913) 225-8215 to get the best business counsel around.

Lawyers Business in Kansas City, MO

Kansas City Lawyers Business

Call us today at (913) 225-8215 to get the best business counsel around. Business law is a broad expanse of the legal field. It covers various kinds of laws and many different topics. This article briefly discusses normally what business law is and how it's used. Definition of Corporate Law Business law encompasses all of the laws that dictate how to form and run a company. This includes all the laws that govern how to begin, purchase, manage and close or offer any kind of company. Company laws establish the guidelines that all companies need to follow. A wise businessperson will certainly be normally familiar with corporate laws and understand when to look for the guidance of a certified legal counsel. Corporate law consists of state and federal laws, in addition to administrative regulations. Let's take a look at some of the areas included under the umbrella of business law.

Business Attorneys

Call us today at (913) 225-8215 to get the best business counsel around.

Here is a great article from hg.org which you can find at http://www.hg.org/corp.html

What is Business Law in Kansas City?

Business law in Kansas City, MO deals with the creation of new businesses and the issues that arise as existing businesses interact with the public, other companies, and the government. This area of the law draws on a variety of legal disciplines, including tax law, intellectual property, real estate, sales, employment law, bankruptcy, and others. Business law attorneys specialize in transactional work, meaning they do not represent clients in court. In fact, business lawyers are often hired for the purpose of avoiding future litigation.

To understand the role of business law within the legal system, it helps to view businesses as entities separate from their owners and employees. Just like individuals living together in society, business entities are subject to legal rules designed to give every participant in the marketplace a fair opportunity to succeed.

An enforceable system of business laws also benefits the economy as a whole and provides for more efficient transactions. For example, a supplier who sells goods on credit can be confident that the buyer will held to the agreed payment terms. As long as the contract is drafted and executed in accordance with the Uniform Commercial Code (UCC) adopted in that jurisdiction, the supplier knows ahead of time it will be able to enforce the contract against the buyer if necessary.

Business Formation and Internal Agreements in Missouri

New companies must take steps to comply with the law even before opening their doors for the first time. Business law attorneys are routinely asked to form new entities on behalf of their clients by filing the necessary documents with the Secretary of State. Clients may also need assistance choosing the business entity best suited for their enterprise.

Businesses can be formed as corporations, limited liability companies (LLCs), partnerships, and other entities. Most of these business forms can be further customized to meet the needs of the company. Examples include corporations formed as “S-corps” in order to achieve tax savings, and partnerships formed as “limited partnerships” to allow some owners to participate as investors only.

While the selection of the appropriate business entity will depend on numerous factors, the primary purpose of most entities is to shield owners from individual liability. Operating a business that is not set up to provide limited liability means that the owners are putting all of their personal assets within reach of the business’s creditors. By working with an attorney at the inception of the business, this situation can easily be avoided.

Business law attorneys are also available to draft the internal agreements that will control how a new company is managed. A common example is an LLC operating agreement. This document should be drafted with care, as it governs how the company’s owners will share profits and losses, make important business decisions, and transfer their ownership rights. You really need to understand Lawyers Business in Kansas City.

Business Lawyers

Navigating Complex Transactions in Kansas City, MO

Some commercial transactions are within the ability of business owners to handle on their own. Others are not, especially when a deal touches on complicated and evolving areas of the law, such as securities regulation or internet commerce. In heavily-regulated industries in particular, companies rely on their in-house or hired lawyers for advice regarding the latest legal developments affecting their businesses.

Even for savvy business people, problems can develop when emotions become involved. Attorneys can provide valuable insight into a transaction, not only because of their legal training, but also because of the objective nature of their analysis. This allows them to spot issues overlooked by business owners and managers who may be too emotionally invested in seeing the deal go through.

Preemptive Measures to Avoid Litigation in Missouri

One way to distinguish business law as its own field of practice is to take note of when these issues arise. Business law provides rules and guidance for companies to follow before disputes occur. Attorneys who practice in this area are experts at structuring transactions to minimize the company’s exposure to litigation. This sort of strategic legal maneuvering can end up saving the company huge amounts of money.

Consider the example of a services company headquartered in one state, with customers all across the nation. The company might hire a lawyer to draft customer agreements that require customers to follow specific dispute procedures, such as giving the company an opportunity to remedy deficient services before a legal claim is made, or providing that disputes must be submitted to arbitration in the company’s home state. In every industry, there are opportunities for business attorneys to save their clients money and provide them with a greater competitive advantage. It’s great to know Lawyers Business in Missouri.

Corporate Lawyers

Hiring Legal Counsel in Kansas City, Missouri

Call us today at (913) 225-8215 to get the best business counsel around.

If you operate an existing business or plan to launch a new one in Kansas City, your success may depend on obtaining the right legal advice. Attorneys are available to assist with everything from simple buy/sell agreements to mergers and acquisitions of publicly-traded companies. Schedule a consultation with a business law firm today.

Understanding the Differences Between Corporations, LLC’s, and Partnerships in Kansas City

Call us today at (913) 225-8215 to get the best business counsel around.

Ownership in Missouri

In a corporation, the owners are called “shareholders.” The owners of an LLC are called “members.” An LLC has complete freedom to distribute its ownership stake to its members without any regard to a member’s capital contribution to an LLC. This becomes important when profits are distributed to each member. Although a certain member may not have invested as much as another member, an LLC’s operating agreement may specify that all members receive an equal share of the profits.

A Missouri corporation can theoretically do the same by creating a unique stock class structure, but this is limited to C-corps. Unfortunately, a business that wants to be identified as an S-corp to avoid double taxation cannot create a unique stock class structure. As a pre-requisite, an S-corp must have a single class of stocks with its dividends distributed in proportion to a shareholders capital investment. Thus, in order for a corporation to create a unique stock class structure, it must be subject to the double taxation.

The owners of a partnership are, not surprisingly, called “partners.” There is no requirement for a formal written agreement in most jurisdictions when creating a partnership, and the partners of a partnership own all of their company’s assets and liabilities personally in proportion to their ownership interest in the company.


Call us today at (913) 225-8215 to get the best business counsel around.

Taxation in Missouri

We have already touched on this a little, but there are complicated and variable rules regarding taxation among the various business entities. Corporation profits are not subject to Social Security and Medicare taxes. Like a sole proprietorship or a partnership, the salaries and profits of an LLC are subject to self-employment taxes unless the LLC opts to be taxed as a corporation. With a corporation, only salaries (not profits) are subject to such taxes.

An LLC has complete flexibility on how it wants to be taxed whereas a corporation may not. A major disadvantage to the corporate designation (at least for C-corps) is its double taxation implications. A corporation’s profit is taxed once (corporate tax), and the dividends its shareholders receive is then taxed again (individual tax). The S-corporation designation does allow flow-through taxation (no corporate tax), but there are certain requirements to qualify as an S-corp that may limit its application for some businesses, particularly those that want to sell shares to raise capital. Depending on the circumstances of a corporation, it may have no choice but to be a C-corp and face double taxation.

An LLC in Missouri, on the other hand, no matter its structure or organization, can choose how it wants to be taxed. By default, an LLC is treated as a “pass-through” entity (single taxation), but can elect to be taxed as a C-corp or an S-corp (if it qualifies). If a business qualifies as an S-corp, the tax difference between an LLC and S-corp are a bit more nuanced. Both an LLC and an S-corp has flow through taxation (no double taxation). However, an LLC’s distribution of profits is subject to an employment tax, whereas an S-corp’s dividends are not. With careful planning, a small business can avoid significant employment taxes by electing to become an S-corp. There are a few other reasons (like much more paperwork) that may deter a small business from taking this advantage, but you should consult with either an attorney or an accountant experienced with corporate set-up before making a decision on whether to be taxed as an LLC or S-corp.

Partnerships and sole proprietorships in Missouri, on the other hand, are taxed directly on the partners’ respective incomes. Because all assets and liabilities are considered to be those of the owners themselves, any gains or losses made by the company are taxed directly to the partners in proportion to their ownership interest in the company. There are also fewer deductible business expenses available to partnerships. But, because the taxes are done directly from the partners’ own incomes, there is very little additional paperwork.

Business Law

Kansas City Operations

While corporations must hold regular meetings of the board of directors and shareholders and keep written corporate minutes, members and managers of an LLC need not hold regular meetings, which reduces complications and paperwork. S corporations cannot have more than 100 shareholders. Each shareholder must be an individual who is a U.S. resident or citizen. Also, it is difficult to place shares of an S corporation into a living trust. These restrictions do not apply to LLCs (or C corporations).

Members who are active participants in an LLC’s business can deduct operating losses against their regular income to the extent permitted by law. While S corporation shareholders can also deduct operating losses, C corporation shareholders cannot.

Corporations in Kansas City can offer a greater variety of fringe benefit plans than any other business entity. Various retirement, stock option, and employee stock purchase plans are available only for corporations. While sole proprietors, partners, and employees owning more than 2% of an S corporation must pay taxes on fringe benefits (such as group-term life insurance, medical reimbursement plans, medical insurance premiums and parking), shareholder-employees of a C corporation do not have to pay taxes on these benefits.

Partnerships have the least restriction because they have the least advantages. Partnerships need not have meetings, special paperwork, and are not bound by limitations on ownership.

Lawyers Business

Conclusion

Corporations, LLC’s, and partnerships in Kansas City all have unique advantages and disadvantages, and any of them may be a great idea for forming your business depending on your unique situation and legal requirements. Of course, your best bet is to consult with an attorney or accountant who is experienced in setting up different business entities to give you clear guidance on which structure will be best for your particular situation and tax needs.

Call us today at (913) 225-8215 to get the best business counsel around. Starting a Business Much of business law addresses the various kinds of business organizations. There are laws relating to the best ways to effectively form and run each type. This includes laws about entities such as corporations, partnerships and limited liability companies. For instance, let's state I decide to begin my own beauty parlor. I need to decide exactly what kind of company I want to be. Will this be a partnership? Will it be a sole proprietorship? What papers do I have to file in order to begin this business? These concerns fall under the laws that govern company entities, which are state laws. The type of entity I choose will also impact how I pay my federal income taxes. These, of course, are federal laws. Next, exactly what will my company be called? Let's state I select Shear Chaos as a name for my hair salon. Now I need to know if anybody else currently has that name. This is a hallmark concern. Patents, trademarks and copyrights belong to copyright law. The federal law governs most copyright law. I require to understand if I'll need any unique type of license for this company. Do barbers need a license? Do I need a special city license or other permit? How will I market my business? Am I permitted to state that I'm the 'best in town?' I'll have to check my regional and state laws to learn. There are many laws that issue handling a company since there are lots of aspects involved in handling. As you can already see, running a business will certainly involve a lot of work law and agreement law. Call us today at (913) 225-8215 to get the best business counsel around.

Lawyer S in Kansas City, MO

Kansas City Lawyer S

Call us today at (913) 225-8215 to get the best business counsel around. Business law is a broad area of the legal field. It covers many different types of laws and various subjects. This article briefly discusses normally what business law is and how it's made use of. Definition of Corporate Law Business law includes all of the laws that dictate how to run a company and form. Business laws establish the guidelines that all companies must follow. Corporate law includes state and federal laws, as well as administrative policies.

Business Attorneys

Call us today at (913) 225-8215 to get the best business counsel around.

Here is a great article from hg.org which you can find at http://www.hg.org/corp.html

What is Business Law in Kansas City?

Business law in Kansas City, MO deals with the creation of new businesses and the issues that arise as existing businesses interact with the public, other companies, and the government. This area of the law draws on a variety of legal disciplines, including tax law, intellectual property, real estate, sales, employment law, bankruptcy, and others. Business law attorneys specialize in transactional work, meaning they do not represent clients in court. In fact, business lawyers are often hired for the purpose of avoiding future litigation.

To understand the role of business law within the legal system, it helps to view businesses as entities separate from their owners and employees. Just like individuals living together in society, business entities are subject to legal rules designed to give every participant in the marketplace a fair opportunity to succeed.

An enforceable system of business laws also benefits the economy as a whole and provides for more efficient transactions. For example, a supplier who sells goods on credit can be confident that the buyer will held to the agreed payment terms. As long as the contract is drafted and executed in accordance with the Uniform Commercial Code (UCC) adopted in that jurisdiction, the supplier knows ahead of time it will be able to enforce the contract against the buyer if necessary.

Business Formation and Internal Agreements in Missouri

New companies must take steps to comply with the law even before opening their doors for the first time. Business law attorneys are routinely asked to form new entities on behalf of their clients by filing the necessary documents with the Secretary of State. Clients may also need assistance choosing the business entity best suited for their enterprise.

Businesses can be formed as corporations, limited liability companies (LLCs), partnerships, and other entities. Most of these business forms can be further customized to meet the needs of the company. Examples include corporations formed as “S-corps” in order to achieve tax savings, and partnerships formed as “limited partnerships” to allow some owners to participate as investors only.

While the selection of the appropriate business entity will depend on numerous factors, the primary purpose of most entities is to shield owners from individual liability. Operating a business that is not set up to provide limited liability means that the owners are putting all of their personal assets within reach of the business’s creditors. By working with an attorney at the inception of the business, this situation can easily be avoided.

Business law attorneys are also available to draft the internal agreements that will control how a new company is managed. A common example is an LLC operating agreement. This document should be drafted with care, as it governs how the company’s owners will share profits and losses, make important business decisions, and transfer their ownership rights. You really need to understand Lawyer S in Kansas City.

Business Lawyers

Navigating Complex Transactions in Kansas City, MO

Some commercial transactions are within the ability of business owners to handle on their own. Others are not, especially when a deal touches on complicated and evolving areas of the law, such as securities regulation or internet commerce. In heavily-regulated industries in particular, companies rely on their in-house or hired lawyers for advice regarding the latest legal developments affecting their businesses.

Even for savvy business people, problems can develop when emotions become involved. Attorneys can provide valuable insight into a transaction, not only because of their legal training, but also because of the objective nature of their analysis. This allows them to spot issues overlooked by business owners and managers who may be too emotionally invested in seeing the deal go through.

Preemptive Measures to Avoid Litigation in Missouri

One way to distinguish business law as its own field of practice is to take note of when these issues arise. Business law provides rules and guidance for companies to follow before disputes occur. Attorneys who practice in this area are experts at structuring transactions to minimize the company’s exposure to litigation. This sort of strategic legal maneuvering can end up saving the company huge amounts of money.

Consider the example of a services company headquartered in one state, with customers all across the nation. The company might hire a lawyer to draft customer agreements that require customers to follow specific dispute procedures, such as giving the company an opportunity to remedy deficient services before a legal claim is made, or providing that disputes must be submitted to arbitration in the company’s home state. In every industry, there are opportunities for business attorneys to save their clients money and provide them with a greater competitive advantage. It’s great to know Lawyer S in Missouri.

Corporate Lawyers

Hiring Legal Counsel in Kansas City, Missouri

Call us today at (913) 225-8215 to get the best business counsel around.

If you operate an existing business or plan to launch a new one in Kansas City, your success may depend on obtaining the right legal advice. Attorneys are available to assist with everything from simple buy/sell agreements to mergers and acquisitions of publicly-traded companies. Schedule a consultation with a business law firm today.

Understanding the Differences Between Corporations, LLC’s, and Partnerships in Kansas City

Call us today at (913) 225-8215 to get the best business counsel around.

Ownership in Missouri

In a corporation, the owners are called “shareholders.” The owners of an LLC are called “members.” An LLC has complete freedom to distribute its ownership stake to its members without any regard to a member’s capital contribution to an LLC. This becomes important when profits are distributed to each member. Although a certain member may not have invested as much as another member, an LLC’s operating agreement may specify that all members receive an equal share of the profits.

A Missouri corporation can theoretically do the same by creating a unique stock class structure, but this is limited to C-corps. Unfortunately, a business that wants to be identified as an S-corp to avoid double taxation cannot create a unique stock class structure. As a pre-requisite, an S-corp must have a single class of stocks with its dividends distributed in proportion to a shareholders capital investment. Thus, in order for a corporation to create a unique stock class structure, it must be subject to the double taxation.

The owners of a partnership are, not surprisingly, called “partners.” There is no requirement for a formal written agreement in most jurisdictions when creating a partnership, and the partners of a partnership own all of their company’s assets and liabilities personally in proportion to their ownership interest in the company.


Call us today at (913) 225-8215 to get the best business counsel around.

Taxation in Missouri

We have already touched on this a little, but there are complicated and variable rules regarding taxation among the various business entities. Corporation profits are not subject to Social Security and Medicare taxes. Like a sole proprietorship or a partnership, the salaries and profits of an LLC are subject to self-employment taxes unless the LLC opts to be taxed as a corporation. With a corporation, only salaries (not profits) are subject to such taxes.

An LLC has complete flexibility on how it wants to be taxed whereas a corporation may not. A major disadvantage to the corporate designation (at least for C-corps) is its double taxation implications. A corporation’s profit is taxed once (corporate tax), and the dividends its shareholders receive is then taxed again (individual tax). The S-corporation designation does allow flow-through taxation (no corporate tax), but there are certain requirements to qualify as an S-corp that may limit its application for some businesses, particularly those that want to sell shares to raise capital. Depending on the circumstances of a corporation, it may have no choice but to be a C-corp and face double taxation.

An LLC in Missouri, on the other hand, no matter its structure or organization, can choose how it wants to be taxed. By default, an LLC is treated as a “pass-through” entity (single taxation), but can elect to be taxed as a C-corp or an S-corp (if it qualifies). If a business qualifies as an S-corp, the tax difference between an LLC and S-corp are a bit more nuanced. Both an LLC and an S-corp has flow through taxation (no double taxation). However, an LLC’s distribution of profits is subject to an employment tax, whereas an S-corp’s dividends are not. With careful planning, a small business can avoid significant employment taxes by electing to become an S-corp. There are a few other reasons (like much more paperwork) that may deter a small business from taking this advantage, but you should consult with either an attorney or an accountant experienced with corporate set-up before making a decision on whether to be taxed as an LLC or S-corp.

Partnerships and sole proprietorships in Missouri, on the other hand, are taxed directly on the partners’ respective incomes. Because all assets and liabilities are considered to be those of the owners themselves, any gains or losses made by the company are taxed directly to the partners in proportion to their ownership interest in the company. There are also fewer deductible business expenses available to partnerships. But, because the taxes are done directly from the partners’ own incomes, there is very little additional paperwork.

Business Law

Kansas City Operations

While corporations must hold regular meetings of the board of directors and shareholders and keep written corporate minutes, members and managers of an LLC need not hold regular meetings, which reduces complications and paperwork. S corporations cannot have more than 100 shareholders. Each shareholder must be an individual who is a U.S. resident or citizen. Also, it is difficult to place shares of an S corporation into a living trust. These restrictions do not apply to LLCs (or C corporations).

Members who are active participants in an LLC’s business can deduct operating losses against their regular income to the extent permitted by law. While S corporation shareholders can also deduct operating losses, C corporation shareholders cannot.

Corporations in Kansas City can offer a greater variety of fringe benefit plans than any other business entity. Various retirement, stock option, and employee stock purchase plans are available only for corporations. While sole proprietors, partners, and employees owning more than 2% of an S corporation must pay taxes on fringe benefits (such as group-term life insurance, medical reimbursement plans, medical insurance premiums and parking), shareholder-employees of a C corporation do not have to pay taxes on these benefits.

Partnerships have the least restriction because they have the least advantages. Partnerships need not have meetings, special paperwork, and are not bound by limitations on ownership.

Lawyer S

Conclusion

Corporations, LLC’s, and partnerships in Kansas City all have unique advantages and disadvantages, and any of them may be a great idea for forming your business depending on your unique situation and legal requirements. Of course, your best bet is to consult with an attorney or accountant who is experienced in setting up different business entities to give you clear guidance on which structure will be best for your particular situation and tax needs.

Call us today at (913) 225-8215 to get the best business counsel around. Beginning a Company Much of company law addresses the different types of company organizations. What documents do I require to file in order to begin this business? These concerns fall under the laws that govern company entities, which are state laws. Next, what will my business be called? The federal law governs most intellectual property law. I need to know if I'll require any unique type of license for this business. There are lots of laws that concern managing a company because there are numerous aspects included in handling. As you can already see, running a company will certainly include a lot of work law and contract law. Call us today at (913) 225-8215 to get the best business counsel around.

How To Find A Small Business Lawyer in Kansas City, MO

Kansas City How To Find A Small Business Lawyer

Call us today at (913) 225-8215 to get the best business counsel around. Corporate law is a broad area of law. It covers many different kinds of laws and many different subjects. This article briefly explains generally exactly what business law is and how it's made use of. Definition of Corporate Law Corporate law includes all of the laws that determine how to form and run a company. Corporate laws establish the guidelines that all companies should follow. Corporate law consists of state and federal laws, as well as administrative policies.

Business Attorneys

Call us today at (913) 225-8215 to get the best business counsel around.

Here is a great article from hg.org which you can find at http://www.hg.org/corp.html

What is Business Law in Kansas City?

Business law in Kansas City, MO deals with the creation of new businesses and the issues that arise as existing businesses interact with the public, other companies, and the government. This area of the law draws on a variety of legal disciplines, including tax law, intellectual property, real estate, sales, employment law, bankruptcy, and others. Business law attorneys specialize in transactional work, meaning they do not represent clients in court. In fact, business lawyers are often hired for the purpose of avoiding future litigation.

To understand the role of business law within the legal system, it helps to view businesses as entities separate from their owners and employees. Just like individuals living together in society, business entities are subject to legal rules designed to give every participant in the marketplace a fair opportunity to succeed.

An enforceable system of business laws also benefits the economy as a whole and provides for more efficient transactions. For example, a supplier who sells goods on credit can be confident that the buyer will held to the agreed payment terms. As long as the contract is drafted and executed in accordance with the Uniform Commercial Code (UCC) adopted in that jurisdiction, the supplier knows ahead of time it will be able to enforce the contract against the buyer if necessary.

Business Formation and Internal Agreements in Missouri

New companies must take steps to comply with the law even before opening their doors for the first time. Business law attorneys are routinely asked to form new entities on behalf of their clients by filing the necessary documents with the Secretary of State. Clients may also need assistance choosing the business entity best suited for their enterprise.

Businesses can be formed as corporations, limited liability companies (LLCs), partnerships, and other entities. Most of these business forms can be further customized to meet the needs of the company. Examples include corporations formed as “S-corps” in order to achieve tax savings, and partnerships formed as “limited partnerships” to allow some owners to participate as investors only.

While the selection of the appropriate business entity will depend on numerous factors, the primary purpose of most entities is to shield owners from individual liability. Operating a business that is not set up to provide limited liability means that the owners are putting all of their personal assets within reach of the business’s creditors. By working with an attorney at the inception of the business, this situation can easily be avoided.

Business law attorneys are also available to draft the internal agreements that will control how a new company is managed. A common example is an LLC operating agreement. This document should be drafted with care, as it governs how the company’s owners will share profits and losses, make important business decisions, and transfer their ownership rights. You really need to understand How To Find A Small Business Lawyer in Kansas City.

Business Lawyers

Navigating Complex Transactions in Kansas City, MO

Some commercial transactions are within the ability of business owners to handle on their own. Others are not, especially when a deal touches on complicated and evolving areas of the law, such as securities regulation or internet commerce. In heavily-regulated industries in particular, companies rely on their in-house or hired lawyers for advice regarding the latest legal developments affecting their businesses.

Even for savvy business people, problems can develop when emotions become involved. Attorneys can provide valuable insight into a transaction, not only because of their legal training, but also because of the objective nature of their analysis. This allows them to spot issues overlooked by business owners and managers who may be too emotionally invested in seeing the deal go through.

Preemptive Measures to Avoid Litigation in Missouri

One way to distinguish business law as its own field of practice is to take note of when these issues arise. Business law provides rules and guidance for companies to follow before disputes occur. Attorneys who practice in this area are experts at structuring transactions to minimize the company’s exposure to litigation. This sort of strategic legal maneuvering can end up saving the company huge amounts of money.

Consider the example of a services company headquartered in one state, with customers all across the nation. The company might hire a lawyer to draft customer agreements that require customers to follow specific dispute procedures, such as giving the company an opportunity to remedy deficient services before a legal claim is made, or providing that disputes must be submitted to arbitration in the company’s home state. In every industry, there are opportunities for business attorneys to save their clients money and provide them with a greater competitive advantage. It’s great to know How To Find A Small Business Lawyer in Missouri.

Corporate Lawyers

Hiring Legal Counsel in Kansas City, Missouri

Call us today at (913) 225-8215 to get the best business counsel around.

If you operate an existing business or plan to launch a new one in Kansas City, your success may depend on obtaining the right legal advice. Attorneys are available to assist with everything from simple buy/sell agreements to mergers and acquisitions of publicly-traded companies. Schedule a consultation with a business law firm today.

Understanding the Differences Between Corporations, LLC’s, and Partnerships in Kansas City

Call us today at (913) 225-8215 to get the best business counsel around.

Ownership in Missouri

In a corporation, the owners are called “shareholders.” The owners of an LLC are called “members.” An LLC has complete freedom to distribute its ownership stake to its members without any regard to a member’s capital contribution to an LLC. This becomes important when profits are distributed to each member. Although a certain member may not have invested as much as another member, an LLC’s operating agreement may specify that all members receive an equal share of the profits.

A Missouri corporation can theoretically do the same by creating a unique stock class structure, but this is limited to C-corps. Unfortunately, a business that wants to be identified as an S-corp to avoid double taxation cannot create a unique stock class structure. As a pre-requisite, an S-corp must have a single class of stocks with its dividends distributed in proportion to a shareholders capital investment. Thus, in order for a corporation to create a unique stock class structure, it must be subject to the double taxation.

The owners of a partnership are, not surprisingly, called “partners.” There is no requirement for a formal written agreement in most jurisdictions when creating a partnership, and the partners of a partnership own all of their company’s assets and liabilities personally in proportion to their ownership interest in the company.


Call us today at (913) 225-8215 to get the best business counsel around.

Taxation in Missouri

We have already touched on this a little, but there are complicated and variable rules regarding taxation among the various business entities. Corporation profits are not subject to Social Security and Medicare taxes. Like a sole proprietorship or a partnership, the salaries and profits of an LLC are subject to self-employment taxes unless the LLC opts to be taxed as a corporation. With a corporation, only salaries (not profits) are subject to such taxes.

An LLC has complete flexibility on how it wants to be taxed whereas a corporation may not. A major disadvantage to the corporate designation (at least for C-corps) is its double taxation implications. A corporation’s profit is taxed once (corporate tax), and the dividends its shareholders receive is then taxed again (individual tax). The S-corporation designation does allow flow-through taxation (no corporate tax), but there are certain requirements to qualify as an S-corp that may limit its application for some businesses, particularly those that want to sell shares to raise capital. Depending on the circumstances of a corporation, it may have no choice but to be a C-corp and face double taxation.

An LLC in Missouri, on the other hand, no matter its structure or organization, can choose how it wants to be taxed. By default, an LLC is treated as a “pass-through” entity (single taxation), but can elect to be taxed as a C-corp or an S-corp (if it qualifies). If a business qualifies as an S-corp, the tax difference between an LLC and S-corp are a bit more nuanced. Both an LLC and an S-corp has flow through taxation (no double taxation). However, an LLC’s distribution of profits is subject to an employment tax, whereas an S-corp’s dividends are not. With careful planning, a small business can avoid significant employment taxes by electing to become an S-corp. There are a few other reasons (like much more paperwork) that may deter a small business from taking this advantage, but you should consult with either an attorney or an accountant experienced with corporate set-up before making a decision on whether to be taxed as an LLC or S-corp.

Partnerships and sole proprietorships in Missouri, on the other hand, are taxed directly on the partners’ respective incomes. Because all assets and liabilities are considered to be those of the owners themselves, any gains or losses made by the company are taxed directly to the partners in proportion to their ownership interest in the company. There are also fewer deductible business expenses available to partnerships. But, because the taxes are done directly from the partners’ own incomes, there is very little additional paperwork.

Business Law

Kansas City Operations

While corporations must hold regular meetings of the board of directors and shareholders and keep written corporate minutes, members and managers of an LLC need not hold regular meetings, which reduces complications and paperwork. S corporations cannot have more than 100 shareholders. Each shareholder must be an individual who is a U.S. resident or citizen. Also, it is difficult to place shares of an S corporation into a living trust. These restrictions do not apply to LLCs (or C corporations).

Members who are active participants in an LLC’s business can deduct operating losses against their regular income to the extent permitted by law. While S corporation shareholders can also deduct operating losses, C corporation shareholders cannot.

Corporations in Kansas City can offer a greater variety of fringe benefit plans than any other business entity. Various retirement, stock option, and employee stock purchase plans are available only for corporations. While sole proprietors, partners, and employees owning more than 2% of an S corporation must pay taxes on fringe benefits (such as group-term life insurance, medical reimbursement plans, medical insurance premiums and parking), shareholder-employees of a C corporation do not have to pay taxes on these benefits.

Partnerships have the least restriction because they have the least advantages. Partnerships need not have meetings, special paperwork, and are not bound by limitations on ownership.

How To Find A Small Business Lawyer

Conclusion

Corporations, LLC’s, and partnerships in Kansas City all have unique advantages and disadvantages, and any of them may be a great idea for forming your business depending on your unique situation and legal requirements. Of course, your best bet is to consult with an attorney or accountant who is experienced in setting up different business entities to give you clear guidance on which structure will be best for your particular situation and tax needs.

Call us today at (913) 225-8215 to get the best business counsel around. Starting a Company Much of business law addresses the various types of company organizations. What documents do I need to file in order to start this business? These questions fall under the laws that govern company entities, which are state laws. Next, what will my company be called? Let's state I select Shear Madness as a name for my hair salon. If anybody else already has that name, now I need to know. This is a trademark concern. Patents, copyrights and hallmarks are part of copyright law. The federal law governs most intellectual property law. Then I need to know if I'll require any unique type of license for this company. Do barbers require a license? Do I require a special city license or other permit? How will I advertise my business? Am I enabled to state that I'm the 'best in the area?' I'll need to check my local and state laws to discover. There are numerous laws that issue managing a company due to the fact that there are numerous aspects involved in handling. As you can currently see, running a company will include a lot of employment law and contract law. For my new company, I'll have to understand how to employ, what my contracts must resemble, what sort of benefits I need to offer, the best ways to pay staff member insurance coverage and taxes as well as the best ways to correctly fire an employee. Many of these employment and advantage laws are federal laws and are controlled by government companies. Contact a certified company attorney today. Call us today at (913) 225-8215 to get the best business counsel around.

Hire Lawyer in Kansas City, MO

Kansas City Hire Lawyer

Call us today at (913) 225-8215 to get the best business counsel around. Corporate law is a broad expanse of the legal field. It covers many different types of laws and various subjects. This article briefly describes usually exactly what business law is and how it's utilized. Definition of Business Law Business law incorporates all of the laws that dictate how to run a company and form. Corporate laws develop the policies that all companies should follow. Business law consists of state and federal laws, as well as administrative regulations.

Business Attorneys

Call us today at (913) 225-8215 to get the best business counsel around.

Here is a great article from hg.org which you can find at http://www.hg.org/corp.html

What is Business Law in Kansas City?

Business law in Kansas City, MO deals with the creation of new businesses and the issues that arise as existing businesses interact with the public, other companies, and the government. This area of the law draws on a variety of legal disciplines, including tax law, intellectual property, real estate, sales, employment law, bankruptcy, and others. Business law attorneys specialize in transactional work, meaning they do not represent clients in court. In fact, business lawyers are often hired for the purpose of avoiding future litigation.

To understand the role of business law within the legal system, it helps to view businesses as entities separate from their owners and employees. Just like individuals living together in society, business entities are subject to legal rules designed to give every participant in the marketplace a fair opportunity to succeed.

An enforceable system of business laws also benefits the economy as a whole and provides for more efficient transactions. For example, a supplier who sells goods on credit can be confident that the buyer will held to the agreed payment terms. As long as the contract is drafted and executed in accordance with the Uniform Commercial Code (UCC) adopted in that jurisdiction, the supplier knows ahead of time it will be able to enforce the contract against the buyer if necessary.

Business Formation and Internal Agreements in Missouri

New companies must take steps to comply with the law even before opening their doors for the first time. Business law attorneys are routinely asked to form new entities on behalf of their clients by filing the necessary documents with the Secretary of State. Clients may also need assistance choosing the business entity best suited for their enterprise.

Businesses can be formed as corporations, limited liability companies (LLCs), partnerships, and other entities. Most of these business forms can be further customized to meet the needs of the company. Examples include corporations formed as “S-corps” in order to achieve tax savings, and partnerships formed as “limited partnerships” to allow some owners to participate as investors only.

While the selection of the appropriate business entity will depend on numerous factors, the primary purpose of most entities is to shield owners from individual liability. Operating a business that is not set up to provide limited liability means that the owners are putting all of their personal assets within reach of the business’s creditors. By working with an attorney at the inception of the business, this situation can easily be avoided.

Business law attorneys are also available to draft the internal agreements that will control how a new company is managed. A common example is an LLC operating agreement. This document should be drafted with care, as it governs how the company’s owners will share profits and losses, make important business decisions, and transfer their ownership rights. You really need to understand Hire Lawyer in Kansas City.

Business Lawyers

Navigating Complex Transactions in Kansas City, MO

Some commercial transactions are within the ability of business owners to handle on their own. Others are not, especially when a deal touches on complicated and evolving areas of the law, such as securities regulation or internet commerce. In heavily-regulated industries in particular, companies rely on their in-house or hired lawyers for advice regarding the latest legal developments affecting their businesses.

Even for savvy business people, problems can develop when emotions become involved. Attorneys can provide valuable insight into a transaction, not only because of their legal training, but also because of the objective nature of their analysis. This allows them to spot issues overlooked by business owners and managers who may be too emotionally invested in seeing the deal go through.

Preemptive Measures to Avoid Litigation in Missouri

One way to distinguish business law as its own field of practice is to take note of when these issues arise. Business law provides rules and guidance for companies to follow before disputes occur. Attorneys who practice in this area are experts at structuring transactions to minimize the company’s exposure to litigation. This sort of strategic legal maneuvering can end up saving the company huge amounts of money.

Consider the example of a services company headquartered in one state, with customers all across the nation. The company might hire a lawyer to draft customer agreements that require customers to follow specific dispute procedures, such as giving the company an opportunity to remedy deficient services before a legal claim is made, or providing that disputes must be submitted to arbitration in the company’s home state. In every industry, there are opportunities for business attorneys to save their clients money and provide them with a greater competitive advantage. It’s great to know Hire Lawyer in Missouri.

Corporate Lawyers

Hiring Legal Counsel in Kansas City, Missouri

Call us today at (913) 225-8215 to get the best business counsel around.

If you operate an existing business or plan to launch a new one in Kansas City, your success may depend on obtaining the right legal advice. Attorneys are available to assist with everything from simple buy/sell agreements to mergers and acquisitions of publicly-traded companies. Schedule a consultation with a business law firm today.

Understanding the Differences Between Corporations, LLC’s, and Partnerships in Kansas City

Call us today at (913) 225-8215 to get the best business counsel around.

Ownership in Missouri

In a corporation, the owners are called “shareholders.” The owners of an LLC are called “members.” An LLC has complete freedom to distribute its ownership stake to its members without any regard to a member’s capital contribution to an LLC. This becomes important when profits are distributed to each member. Although a certain member may not have invested as much as another member, an LLC’s operating agreement may specify that all members receive an equal share of the profits.

A Missouri corporation can theoretically do the same by creating a unique stock class structure, but this is limited to C-corps. Unfortunately, a business that wants to be identified as an S-corp to avoid double taxation cannot create a unique stock class structure. As a pre-requisite, an S-corp must have a single class of stocks with its dividends distributed in proportion to a shareholders capital investment. Thus, in order for a corporation to create a unique stock class structure, it must be subject to the double taxation.

The owners of a partnership are, not surprisingly, called “partners.” There is no requirement for a formal written agreement in most jurisdictions when creating a partnership, and the partners of a partnership own all of their company’s assets and liabilities personally in proportion to their ownership interest in the company.


Call us today at (913) 225-8215 to get the best business counsel around.

Taxation in Missouri

We have already touched on this a little, but there are complicated and variable rules regarding taxation among the various business entities. Corporation profits are not subject to Social Security and Medicare taxes. Like a sole proprietorship or a partnership, the salaries and profits of an LLC are subject to self-employment taxes unless the LLC opts to be taxed as a corporation. With a corporation, only salaries (not profits) are subject to such taxes.

An LLC has complete flexibility on how it wants to be taxed whereas a corporation may not. A major disadvantage to the corporate designation (at least for C-corps) is its double taxation implications. A corporation’s profit is taxed once (corporate tax), and the dividends its shareholders receive is then taxed again (individual tax). The S-corporation designation does allow flow-through taxation (no corporate tax), but there are certain requirements to qualify as an S-corp that may limit its application for some businesses, particularly those that want to sell shares to raise capital. Depending on the circumstances of a corporation, it may have no choice but to be a C-corp and face double taxation.

An LLC in Missouri, on the other hand, no matter its structure or organization, can choose how it wants to be taxed. By default, an LLC is treated as a “pass-through” entity (single taxation), but can elect to be taxed as a C-corp or an S-corp (if it qualifies). If a business qualifies as an S-corp, the tax difference between an LLC and S-corp are a bit more nuanced. Both an LLC and an S-corp has flow through taxation (no double taxation). However, an LLC’s distribution of profits is subject to an employment tax, whereas an S-corp’s dividends are not. With careful planning, a small business can avoid significant employment taxes by electing to become an S-corp. There are a few other reasons (like much more paperwork) that may deter a small business from taking this advantage, but you should consult with either an attorney or an accountant experienced with corporate set-up before making a decision on whether to be taxed as an LLC or S-corp.

Partnerships and sole proprietorships in Missouri, on the other hand, are taxed directly on the partners’ respective incomes. Because all assets and liabilities are considered to be those of the owners themselves, any gains or losses made by the company are taxed directly to the partners in proportion to their ownership interest in the company. There are also fewer deductible business expenses available to partnerships. But, because the taxes are done directly from the partners’ own incomes, there is very little additional paperwork.

Business Law

Kansas City Operations

While corporations must hold regular meetings of the board of directors and shareholders and keep written corporate minutes, members and managers of an LLC need not hold regular meetings, which reduces complications and paperwork. S corporations cannot have more than 100 shareholders. Each shareholder must be an individual who is a U.S. resident or citizen. Also, it is difficult to place shares of an S corporation into a living trust. These restrictions do not apply to LLCs (or C corporations).

Members who are active participants in an LLC’s business can deduct operating losses against their regular income to the extent permitted by law. While S corporation shareholders can also deduct operating losses, C corporation shareholders cannot.

Corporations in Kansas City can offer a greater variety of fringe benefit plans than any other business entity. Various retirement, stock option, and employee stock purchase plans are available only for corporations. While sole proprietors, partners, and employees owning more than 2% of an S corporation must pay taxes on fringe benefits (such as group-term life insurance, medical reimbursement plans, medical insurance premiums and parking), shareholder-employees of a C corporation do not have to pay taxes on these benefits.

Partnerships have the least restriction because they have the least advantages. Partnerships need not have meetings, special paperwork, and are not bound by limitations on ownership.

Hire Lawyer

Conclusion

Corporations, LLC’s, and partnerships in Kansas City all have unique advantages and disadvantages, and any of them may be a great idea for forming your business depending on your unique situation and legal requirements. Of course, your best bet is to consult with an attorney or accountant who is experienced in setting up different business entities to give you clear guidance on which structure will be best for your particular situation and tax needs.

Call us today at (913) 225-8215 to get the best business counsel around. Beginning a Company Much of business law addresses the different types of company organizations. What documents do I require to submit in order to begin this company? These questions fall under the laws that govern business entities, which are state laws. Next, exactly what will my company be called? The federal law governs most intellectual home law. I require to understand if I'll need any unique type of license for this company. There are numerous laws that issue handling a company because there are numerous aspects involved in handling. As you can currently see, running a business will certainly include a lot of employment law and contract law. For my brand-new business, I'll need to understand how to hire, what my agreements ought to look like, what sort of benefits I need to offer, the best ways to pay worker insurance and taxes and even ways to properly fire an employee. Many of these employment and advantage laws are federal laws and are regulated by government companies. Contact a certified business lawyer today. Call us today at (913) 225-8215 to get the best business counsel around.

Find A Business Lawyer in Kansas City, MO

Kansas City Find A Business Lawyer

Call us today at (913) 225-8215 to get the best business counsel around. Business law is a broad expanse of the legal field. It covers various kinds of laws and various topics. This article briefly discusses usually what business law is and how it's used. Definition of Business Law Business law incorporates all of the laws that determine how to run a company and form. Corporate laws establish the policies that all companies must follow. Corporate law consists of state and federal laws, as well as management policies.

Business Attorneys

Call us today at (913) 225-8215 to get the best business counsel around.

Here is a great article from hg.org which you can find at http://www.hg.org/corp.html

What is Business Law in Kansas City?

Business law in Kansas City, MO deals with the creation of new businesses and the issues that arise as existing businesses interact with the public, other companies, and the government. This area of the law draws on a variety of legal disciplines, including tax law, intellectual property, real estate, sales, employment law, bankruptcy, and others. Business law attorneys specialize in transactional work, meaning they do not represent clients in court. In fact, business lawyers are often hired for the purpose of avoiding future litigation.

To understand the role of business law within the legal system, it helps to view businesses as entities separate from their owners and employees. Just like individuals living together in society, business entities are subject to legal rules designed to give every participant in the marketplace a fair opportunity to succeed.

An enforceable system of business laws also benefits the economy as a whole and provides for more efficient transactions. For example, a supplier who sells goods on credit can be confident that the buyer will held to the agreed payment terms. As long as the contract is drafted and executed in accordance with the Uniform Commercial Code (UCC) adopted in that jurisdiction, the supplier knows ahead of time it will be able to enforce the contract against the buyer if necessary.

Business Formation and Internal Agreements in Missouri

New companies must take steps to comply with the law even before opening their doors for the first time. Business law attorneys are routinely asked to form new entities on behalf of their clients by filing the necessary documents with the Secretary of State. Clients may also need assistance choosing the business entity best suited for their enterprise.

Businesses can be formed as corporations, limited liability companies (LLCs), partnerships, and other entities. Most of these business forms can be further customized to meet the needs of the company. Examples include corporations formed as “S-corps” in order to achieve tax savings, and partnerships formed as “limited partnerships” to allow some owners to participate as investors only.

While the selection of the appropriate business entity will depend on numerous factors, the primary purpose of most entities is to shield owners from individual liability. Operating a business that is not set up to provide limited liability means that the owners are putting all of their personal assets within reach of the business’s creditors. By working with an attorney at the inception of the business, this situation can easily be avoided.

Business law attorneys are also available to draft the internal agreements that will control how a new company is managed. A common example is an LLC operating agreement. This document should be drafted with care, as it governs how the company’s owners will share profits and losses, make important business decisions, and transfer their ownership rights. You really need to understand Find A Business Lawyer in Kansas City.

Business Lawyers

Navigating Complex Transactions in Kansas City, MO

Some commercial transactions are within the ability of business owners to handle on their own. Others are not, especially when a deal touches on complicated and evolving areas of the law, such as securities regulation or internet commerce. In heavily-regulated industries in particular, companies rely on their in-house or hired lawyers for advice regarding the latest legal developments affecting their businesses.

Even for savvy business people, problems can develop when emotions become involved. Attorneys can provide valuable insight into a transaction, not only because of their legal training, but also because of the objective nature of their analysis. This allows them to spot issues overlooked by business owners and managers who may be too emotionally invested in seeing the deal go through.

Preemptive Measures to Avoid Litigation in Missouri

One way to distinguish business law as its own field of practice is to take note of when these issues arise. Business law provides rules and guidance for companies to follow before disputes occur. Attorneys who practice in this area are experts at structuring transactions to minimize the company’s exposure to litigation. This sort of strategic legal maneuvering can end up saving the company huge amounts of money.

Consider the example of a services company headquartered in one state, with customers all across the nation. The company might hire a lawyer to draft customer agreements that require customers to follow specific dispute procedures, such as giving the company an opportunity to remedy deficient services before a legal claim is made, or providing that disputes must be submitted to arbitration in the company’s home state. In every industry, there are opportunities for business attorneys to save their clients money and provide them with a greater competitive advantage. It’s great to know Find A Business Lawyer in Missouri.

Corporate Lawyers

Hiring Legal Counsel in Kansas City, Missouri

Call us today at (913) 225-8215 to get the best business counsel around.

If you operate an existing business or plan to launch a new one in Kansas City, your success may depend on obtaining the right legal advice. Attorneys are available to assist with everything from simple buy/sell agreements to mergers and acquisitions of publicly-traded companies. Schedule a consultation with a business law firm today.

Understanding the Differences Between Corporations, LLC’s, and Partnerships in Kansas City

Call us today at (913) 225-8215 to get the best business counsel around.

Ownership in Missouri

In a corporation, the owners are called “shareholders.” The owners of an LLC are called “members.” An LLC has complete freedom to distribute its ownership stake to its members without any regard to a member’s capital contribution to an LLC. This becomes important when profits are distributed to each member. Although a certain member may not have invested as much as another member, an LLC’s operating agreement may specify that all members receive an equal share of the profits.

A Missouri corporation can theoretically do the same by creating a unique stock class structure, but this is limited to C-corps. Unfortunately, a business that wants to be identified as an S-corp to avoid double taxation cannot create a unique stock class structure. As a pre-requisite, an S-corp must have a single class of stocks with its dividends distributed in proportion to a shareholders capital investment. Thus, in order for a corporation to create a unique stock class structure, it must be subject to the double taxation.

The owners of a partnership are, not surprisingly, called “partners.” There is no requirement for a formal written agreement in most jurisdictions when creating a partnership, and the partners of a partnership own all of their company’s assets and liabilities personally in proportion to their ownership interest in the company.


Call us today at (913) 225-8215 to get the best business counsel around.

Taxation in Missouri

We have already touched on this a little, but there are complicated and variable rules regarding taxation among the various business entities. Corporation profits are not subject to Social Security and Medicare taxes. Like a sole proprietorship or a partnership, the salaries and profits of an LLC are subject to self-employment taxes unless the LLC opts to be taxed as a corporation. With a corporation, only salaries (not profits) are subject to such taxes.

An LLC has complete flexibility on how it wants to be taxed whereas a corporation may not. A major disadvantage to the corporate designation (at least for C-corps) is its double taxation implications. A corporation’s profit is taxed once (corporate tax), and the dividends its shareholders receive is then taxed again (individual tax). The S-corporation designation does allow flow-through taxation (no corporate tax), but there are certain requirements to qualify as an S-corp that may limit its application for some businesses, particularly those that want to sell shares to raise capital. Depending on the circumstances of a corporation, it may have no choice but to be a C-corp and face double taxation.

An LLC in Missouri, on the other hand, no matter its structure or organization, can choose how it wants to be taxed. By default, an LLC is treated as a “pass-through” entity (single taxation), but can elect to be taxed as a C-corp or an S-corp (if it qualifies). If a business qualifies as an S-corp, the tax difference between an LLC and S-corp are a bit more nuanced. Both an LLC and an S-corp has flow through taxation (no double taxation). However, an LLC’s distribution of profits is subject to an employment tax, whereas an S-corp’s dividends are not. With careful planning, a small business can avoid significant employment taxes by electing to become an S-corp. There are a few other reasons (like much more paperwork) that may deter a small business from taking this advantage, but you should consult with either an attorney or an accountant experienced with corporate set-up before making a decision on whether to be taxed as an LLC or S-corp.

Partnerships and sole proprietorships in Missouri, on the other hand, are taxed directly on the partners’ respective incomes. Because all assets and liabilities are considered to be those of the owners themselves, any gains or losses made by the company are taxed directly to the partners in proportion to their ownership interest in the company. There are also fewer deductible business expenses available to partnerships. But, because the taxes are done directly from the partners’ own incomes, there is very little additional paperwork.

Business Law

Kansas City Operations

While corporations must hold regular meetings of the board of directors and shareholders and keep written corporate minutes, members and managers of an LLC need not hold regular meetings, which reduces complications and paperwork. S corporations cannot have more than 100 shareholders. Each shareholder must be an individual who is a U.S. resident or citizen. Also, it is difficult to place shares of an S corporation into a living trust. These restrictions do not apply to LLCs (or C corporations).

Members who are active participants in an LLC’s business can deduct operating losses against their regular income to the extent permitted by law. While S corporation shareholders can also deduct operating losses, C corporation shareholders cannot.

Corporations in Kansas City can offer a greater variety of fringe benefit plans than any other business entity. Various retirement, stock option, and employee stock purchase plans are available only for corporations. While sole proprietors, partners, and employees owning more than 2% of an S corporation must pay taxes on fringe benefits (such as group-term life insurance, medical reimbursement plans, medical insurance premiums and parking), shareholder-employees of a C corporation do not have to pay taxes on these benefits.

Partnerships have the least restriction because they have the least advantages. Partnerships need not have meetings, special paperwork, and are not bound by limitations on ownership.

Find A Business Lawyer

Conclusion

Corporations, LLC’s, and partnerships in Kansas City all have unique advantages and disadvantages, and any of them may be a great idea for forming your business depending on your unique situation and legal requirements. Of course, your best bet is to consult with an attorney or accountant who is experienced in setting up different business entities to give you clear guidance on which structure will be best for your particular situation and tax needs.

Call us today at (913) 225-8215 to get the best business counsel around. Starting a Business Much of company law addresses the various kinds of enterprise. There are laws relating to the best ways to properly form and run each type. This includes laws about entities such as corporations, partnerships and limited liability companies. For example, let's state I choose to begin my own beauty parlor. I have to choose exactly what kind of business I wish to be. Will this be a collaboration? Will it be a sole proprietorship? What papers do I have to file in order to start this business? These questions fall under the laws that govern company entities, which are state laws. The kind of entity I choose will also impact how I pay my federal income taxes. These, naturally, are federal laws. Next, what will my business be called? Let's say I pick Shear Insanity as a name for my beauty parlor. Now I have to understand if anybody else already has that name. This is a hallmark question. Patents, copyrights and hallmarks belong to intellectual property law. The federal law governs most copyright law. I require to know if I'll need any special type of license for this company. Do barbers require a license? Do I require an unique city license or other authorization? How will I promote my business? Am I enabled to say that I'm the 'best in town?' I'll have to inspect my local and state laws to find out. Since there are numerous elements involved in handling, there are many laws that concern handling a company. As you can currently see, running a company will include a lot of work law and contract law. For my brand-new business, I'll have to understand ways to hire, what my contracts need to appear like, what sort of advantages I need to provide, the best ways to pay employee insurance coverage and taxes and even how to effectively fire an employee. Many of these employment and benefit laws are federal laws and are managed by government agencies. Contact a qualified company legal representative today. Call us today at (913) 225-8215 to get the best business counsel around.

Commercial Litigation Attorneys in Kansas City, MO

Kansas City Commercial Litigation Attorneys

Call us today at (913) 225-8215 to get the best business counsel around. Corporate law is a broad expanse of the legal field. It covers various types of laws and many different subjects. This article briefly describes usually exactly what business law is and how it's used. Meaning of Business Law Corporate law includes all of the laws that dictate how to run a business and form. This includes all the laws that govern the best ways to begin, buy, handle and close or offer any type of company. Company laws develop the policies that companies must follow. When to seek the guidance of a licensed attorney, a smart business owner will be typically familiar with company laws and understand. Corporate law consists of state and federal laws, in addition to administrative regulations. Let's have a look at a few of the locations consisted of under the umbrella of corporate law.

Business Attorneys

Call us today at (913) 225-8215 to get the best business counsel around.

Here is a great article from hg.org which you can find at http://www.hg.org/corp.html

What is Business Law in Kansas City?

Business law in Kansas City, MO deals with the creation of new businesses and the issues that arise as existing businesses interact with the public, other companies, and the government. This area of the law draws on a variety of legal disciplines, including tax law, intellectual property, real estate, sales, employment law, bankruptcy, and others. Business law attorneys specialize in transactional work, meaning they do not represent clients in court. In fact, business lawyers are often hired for the purpose of avoiding future litigation.

To understand the role of business law within the legal system, it helps to view businesses as entities separate from their owners and employees. Just like individuals living together in society, business entities are subject to legal rules designed to give every participant in the marketplace a fair opportunity to succeed.

An enforceable system of business laws also benefits the economy as a whole and provides for more efficient transactions. For example, a supplier who sells goods on credit can be confident that the buyer will held to the agreed payment terms. As long as the contract is drafted and executed in accordance with the Uniform Commercial Code (UCC) adopted in that jurisdiction, the supplier knows ahead of time it will be able to enforce the contract against the buyer if necessary.

Business Formation and Internal Agreements in Missouri

New companies must take steps to comply with the law even before opening their doors for the first time. Business law attorneys are routinely asked to form new entities on behalf of their clients by filing the necessary documents with the Secretary of State. Clients may also need assistance choosing the business entity best suited for their enterprise.

Businesses can be formed as corporations, limited liability companies (LLCs), partnerships, and other entities. Most of these business forms can be further customized to meet the needs of the company. Examples include corporations formed as “S-corps” in order to achieve tax savings, and partnerships formed as “limited partnerships” to allow some owners to participate as investors only.

While the selection of the appropriate business entity will depend on numerous factors, the primary purpose of most entities is to shield owners from individual liability. Operating a business that is not set up to provide limited liability means that the owners are putting all of their personal assets within reach of the business’s creditors. By working with an attorney at the inception of the business, this situation can easily be avoided.

Business law attorneys are also available to draft the internal agreements that will control how a new company is managed. A common example is an LLC operating agreement. This document should be drafted with care, as it governs how the company’s owners will share profits and losses, make important business decisions, and transfer their ownership rights. You really need to understand Commercial Litigation Attorneys in Kansas City.

Business Lawyers

Navigating Complex Transactions in Kansas City, MO

Some commercial transactions are within the ability of business owners to handle on their own. Others are not, especially when a deal touches on complicated and evolving areas of the law, such as securities regulation or internet commerce. In heavily-regulated industries in particular, companies rely on their in-house or hired lawyers for advice regarding the latest legal developments affecting their businesses.

Even for savvy business people, problems can develop when emotions become involved. Attorneys can provide valuable insight into a transaction, not only because of their legal training, but also because of the objective nature of their analysis. This allows them to spot issues overlooked by business owners and managers who may be too emotionally invested in seeing the deal go through.

Preemptive Measures to Avoid Litigation in Missouri

One way to distinguish business law as its own field of practice is to take note of when these issues arise. Business law provides rules and guidance for companies to follow before disputes occur. Attorneys who practice in this area are experts at structuring transactions to minimize the company’s exposure to litigation. This sort of strategic legal maneuvering can end up saving the company huge amounts of money.

Consider the example of a services company headquartered in one state, with customers all across the nation. The company might hire a lawyer to draft customer agreements that require customers to follow specific dispute procedures, such as giving the company an opportunity to remedy deficient services before a legal claim is made, or providing that disputes must be submitted to arbitration in the company’s home state. In every industry, there are opportunities for business attorneys to save their clients money and provide them with a greater competitive advantage. It’s great to know Commercial Litigation Attorneys in Missouri.

Corporate Lawyers

Hiring Legal Counsel in Kansas City, Missouri

Call us today at (913) 225-8215 to get the best business counsel around.

If you operate an existing business or plan to launch a new one in Kansas City, your success may depend on obtaining the right legal advice. Attorneys are available to assist with everything from simple buy/sell agreements to mergers and acquisitions of publicly-traded companies. Schedule a consultation with a business law firm today.

Understanding the Differences Between Corporations, LLC’s, and Partnerships in Kansas City

Call us today at (913) 225-8215 to get the best business counsel around.

Ownership in Missouri

In a corporation, the owners are called “shareholders.” The owners of an LLC are called “members.” An LLC has complete freedom to distribute its ownership stake to its members without any regard to a member’s capital contribution to an LLC. This becomes important when profits are distributed to each member. Although a certain member may not have invested as much as another member, an LLC’s operating agreement may specify that all members receive an equal share of the profits.

A Missouri corporation can theoretically do the same by creating a unique stock class structure, but this is limited to C-corps. Unfortunately, a business that wants to be identified as an S-corp to avoid double taxation cannot create a unique stock class structure. As a pre-requisite, an S-corp must have a single class of stocks with its dividends distributed in proportion to a shareholders capital investment. Thus, in order for a corporation to create a unique stock class structure, it must be subject to the double taxation.

The owners of a partnership are, not surprisingly, called “partners.” There is no requirement for a formal written agreement in most jurisdictions when creating a partnership, and the partners of a partnership own all of their company’s assets and liabilities personally in proportion to their ownership interest in the company.


Call us today at (913) 225-8215 to get the best business counsel around.

Taxation in Missouri

We have already touched on this a little, but there are complicated and variable rules regarding taxation among the various business entities. Corporation profits are not subject to Social Security and Medicare taxes. Like a sole proprietorship or a partnership, the salaries and profits of an LLC are subject to self-employment taxes unless the LLC opts to be taxed as a corporation. With a corporation, only salaries (not profits) are subject to such taxes.

An LLC has complete flexibility on how it wants to be taxed whereas a corporation may not. A major disadvantage to the corporate designation (at least for C-corps) is its double taxation implications. A corporation’s profit is taxed once (corporate tax), and the dividends its shareholders receive is then taxed again (individual tax). The S-corporation designation does allow flow-through taxation (no corporate tax), but there are certain requirements to qualify as an S-corp that may limit its application for some businesses, particularly those that want to sell shares to raise capital. Depending on the circumstances of a corporation, it may have no choice but to be a C-corp and face double taxation.

An LLC in Missouri, on the other hand, no matter its structure or organization, can choose how it wants to be taxed. By default, an LLC is treated as a “pass-through” entity (single taxation), but can elect to be taxed as a C-corp or an S-corp (if it qualifies). If a business qualifies as an S-corp, the tax difference between an LLC and S-corp are a bit more nuanced. Both an LLC and an S-corp has flow through taxation (no double taxation). However, an LLC’s distribution of profits is subject to an employment tax, whereas an S-corp’s dividends are not. With careful planning, a small business can avoid significant employment taxes by electing to become an S-corp. There are a few other reasons (like much more paperwork) that may deter a small business from taking this advantage, but you should consult with either an attorney or an accountant experienced with corporate set-up before making a decision on whether to be taxed as an LLC or S-corp.

Partnerships and sole proprietorships in Missouri, on the other hand, are taxed directly on the partners’ respective incomes. Because all assets and liabilities are considered to be those of the owners themselves, any gains or losses made by the company are taxed directly to the partners in proportion to their ownership interest in the company. There are also fewer deductible business expenses available to partnerships. But, because the taxes are done directly from the partners’ own incomes, there is very little additional paperwork.

Business Law

Kansas City Operations

While corporations must hold regular meetings of the board of directors and shareholders and keep written corporate minutes, members and managers of an LLC need not hold regular meetings, which reduces complications and paperwork. S corporations cannot have more than 100 shareholders. Each shareholder must be an individual who is a U.S. resident or citizen. Also, it is difficult to place shares of an S corporation into a living trust. These restrictions do not apply to LLCs (or C corporations).

Members who are active participants in an LLC’s business can deduct operating losses against their regular income to the extent permitted by law. While S corporation shareholders can also deduct operating losses, C corporation shareholders cannot.

Corporations in Kansas City can offer a greater variety of fringe benefit plans than any other business entity. Various retirement, stock option, and employee stock purchase plans are available only for corporations. While sole proprietors, partners, and employees owning more than 2% of an S corporation must pay taxes on fringe benefits (such as group-term life insurance, medical reimbursement plans, medical insurance premiums and parking), shareholder-employees of a C corporation do not have to pay taxes on these benefits.

Partnerships have the least restriction because they have the least advantages. Partnerships need not have meetings, special paperwork, and are not bound by limitations on ownership.

Commercial Litigation Attorneys

Conclusion

Corporations, LLC’s, and partnerships in Kansas City all have unique advantages and disadvantages, and any of them may be a great idea for forming your business depending on your unique situation and legal requirements. Of course, your best bet is to consult with an attorney or accountant who is experienced in setting up different business entities to give you clear guidance on which structure will be best for your particular situation and tax needs.

Call us today at (913) 225-8215 to get the best business counsel around. Starting a Business Much of company law addresses the different types of business companies. What papers do I require to submit in order to begin this business? These concerns fall under the laws that govern company entities, which are state laws. Next, what will my company be called? Let's say I select Shear Madness as a name for my hair salon. If any individual else already has that name, now I need to understand. This is a hallmark concern. Patents, trademarks and copyrights are part of intellectual property law. The federal law governs most intellectual property law. Then I need to understand if I'll need any unique type of license for this company. Do barbers need a license? Do I require a special city license or other authorization? How will I promote my company? Am I permitted to state that I'm the 'finest in town?' I'll have to inspect my local and state laws to learn. There are lots of laws that concern managing a business because there are numerous elements associated with handling. As you can currently see, running a company will certainly include a great deal of work law and contract law. For my new company, I'll have to understand ways to employ, what my contracts need to look like, what kind of advantages I need to provide, the best ways to pay worker insurance coverage and taxes and even how to properly fire an employee. Numerous of these work and advantage laws are federal laws and are controlled by government agencies. Contact a certified company lawyer today. Call us today at (913) 225-8215 to get the best business counsel around.

Commercial Business Lawyer in Kansas City, MO

Kansas City Commercial Business Lawyer

Call us today at (913) 225-8215 to get the best business counsel around. Business law is a broad expanse of law. It covers various types of laws and various subjects. This article briefly explains generally exactly what corporate law is and how it's made use of. Meaning of Corporate Law Business law includes all of the laws that determine the best ways to run a business and form. This includes all the laws that govern ways to start, purchase, manage and close or offer any type of business. Company laws develop the rules that all businesses must follow. When to seek the suggestions of a certified lawyer, a savvy businessperson will be normally familiar with business laws and understand. Business law includes state and federal laws, as well as administrative regulations. Let's have a look at a few of the areas consisted of under the umbrella of corporate law.

Business Attorneys

Call us today at (913) 225-8215 to get the best business counsel around.

Here is a great article from hg.org which you can find at http://www.hg.org/corp.html

What is Business Law in Kansas City?

Business law in Kansas City, MO deals with the creation of new businesses and the issues that arise as existing businesses interact with the public, other companies, and the government. This area of the law draws on a variety of legal disciplines, including tax law, intellectual property, real estate, sales, employment law, bankruptcy, and others. Business law attorneys specialize in transactional work, meaning they do not represent clients in court. In fact, business lawyers are often hired for the purpose of avoiding future litigation.

To understand the role of business law within the legal system, it helps to view businesses as entities separate from their owners and employees. Just like individuals living together in society, business entities are subject to legal rules designed to give every participant in the marketplace a fair opportunity to succeed.

An enforceable system of business laws also benefits the economy as a whole and provides for more efficient transactions. For example, a supplier who sells goods on credit can be confident that the buyer will held to the agreed payment terms. As long as the contract is drafted and executed in accordance with the Uniform Commercial Code (UCC) adopted in that jurisdiction, the supplier knows ahead of time it will be able to enforce the contract against the buyer if necessary.

Business Formation and Internal Agreements in Missouri

New companies must take steps to comply with the law even before opening their doors for the first time. Business law attorneys are routinely asked to form new entities on behalf of their clients by filing the necessary documents with the Secretary of State. Clients may also need assistance choosing the business entity best suited for their enterprise.

Businesses can be formed as corporations, limited liability companies (LLCs), partnerships, and other entities. Most of these business forms can be further customized to meet the needs of the company. Examples include corporations formed as “S-corps” in order to achieve tax savings, and partnerships formed as “limited partnerships” to allow some owners to participate as investors only.

While the selection of the appropriate business entity will depend on numerous factors, the primary purpose of most entities is to shield owners from individual liability. Operating a business that is not set up to provide limited liability means that the owners are putting all of their personal assets within reach of the business’s creditors. By working with an attorney at the inception of the business, this situation can easily be avoided.

Business law attorneys are also available to draft the internal agreements that will control how a new company is managed. A common example is an LLC operating agreement. This document should be drafted with care, as it governs how the company’s owners will share profits and losses, make important business decisions, and transfer their ownership rights. You really need to understand Commercial Business Lawyer in Kansas City.

Business Lawyers

Navigating Complex Transactions in Kansas City, MO

Some commercial transactions are within the ability of business owners to handle on their own. Others are not, especially when a deal touches on complicated and evolving areas of the law, such as securities regulation or internet commerce. In heavily-regulated industries in particular, companies rely on their in-house or hired lawyers for advice regarding the latest legal developments affecting their businesses.

Even for savvy business people, problems can develop when emotions become involved. Attorneys can provide valuable insight into a transaction, not only because of their legal training, but also because of the objective nature of their analysis. This allows them to spot issues overlooked by business owners and managers who may be too emotionally invested in seeing the deal go through.

Preemptive Measures to Avoid Litigation in Missouri

One way to distinguish business law as its own field of practice is to take note of when these issues arise. Business law provides rules and guidance for companies to follow before disputes occur. Attorneys who practice in this area are experts at structuring transactions to minimize the company’s exposure to litigation. This sort of strategic legal maneuvering can end up saving the company huge amounts of money.

Consider the example of a services company headquartered in one state, with customers all across the nation. The company might hire a lawyer to draft customer agreements that require customers to follow specific dispute procedures, such as giving the company an opportunity to remedy deficient services before a legal claim is made, or providing that disputes must be submitted to arbitration in the company’s home state. In every industry, there are opportunities for business attorneys to save their clients money and provide them with a greater competitive advantage. It’s great to know Commercial Business Lawyer in Missouri.

Corporate Lawyers

Hiring Legal Counsel in Kansas City, Missouri

Call us today at (913) 225-8215 to get the best business counsel around.

If you operate an existing business or plan to launch a new one in Kansas City, your success may depend on obtaining the right legal advice. Attorneys are available to assist with everything from simple buy/sell agreements to mergers and acquisitions of publicly-traded companies. Schedule a consultation with a business law firm today.

Understanding the Differences Between Corporations, LLC’s, and Partnerships in Kansas City

Call us today at (913) 225-8215 to get the best business counsel around.

Ownership in Missouri

In a corporation, the owners are called “shareholders.” The owners of an LLC are called “members.” An LLC has complete freedom to distribute its ownership stake to its members without any regard to a member’s capital contribution to an LLC. This becomes important when profits are distributed to each member. Although a certain member may not have invested as much as another member, an LLC’s operating agreement may specify that all members receive an equal share of the profits.

A Missouri corporation can theoretically do the same by creating a unique stock class structure, but this is limited to C-corps. Unfortunately, a business that wants to be identified as an S-corp to avoid double taxation cannot create a unique stock class structure. As a pre-requisite, an S-corp must have a single class of stocks with its dividends distributed in proportion to a shareholders capital investment. Thus, in order for a corporation to create a unique stock class structure, it must be subject to the double taxation.

The owners of a partnership are, not surprisingly, called “partners.” There is no requirement for a formal written agreement in most jurisdictions when creating a partnership, and the partners of a partnership own all of their company’s assets and liabilities personally in proportion to their ownership interest in the company.


Call us today at (913) 225-8215 to get the best business counsel around.

Taxation in Missouri

We have already touched on this a little, but there are complicated and variable rules regarding taxation among the various business entities. Corporation profits are not subject to Social Security and Medicare taxes. Like a sole proprietorship or a partnership, the salaries and profits of an LLC are subject to self-employment taxes unless the LLC opts to be taxed as a corporation. With a corporation, only salaries (not profits) are subject to such taxes.

An LLC has complete flexibility on how it wants to be taxed whereas a corporation may not. A major disadvantage to the corporate designation (at least for C-corps) is its double taxation implications. A corporation’s profit is taxed once (corporate tax), and the dividends its shareholders receive is then taxed again (individual tax). The S-corporation designation does allow flow-through taxation (no corporate tax), but there are certain requirements to qualify as an S-corp that may limit its application for some businesses, particularly those that want to sell shares to raise capital. Depending on the circumstances of a corporation, it may have no choice but to be a C-corp and face double taxation.

An LLC in Missouri, on the other hand, no matter its structure or organization, can choose how it wants to be taxed. By default, an LLC is treated as a “pass-through” entity (single taxation), but can elect to be taxed as a C-corp or an S-corp (if it qualifies). If a business qualifies as an S-corp, the tax difference between an LLC and S-corp are a bit more nuanced. Both an LLC and an S-corp has flow through taxation (no double taxation). However, an LLC’s distribution of profits is subject to an employment tax, whereas an S-corp’s dividends are not. With careful planning, a small business can avoid significant employment taxes by electing to become an S-corp. There are a few other reasons (like much more paperwork) that may deter a small business from taking this advantage, but you should consult with either an attorney or an accountant experienced with corporate set-up before making a decision on whether to be taxed as an LLC or S-corp.

Partnerships and sole proprietorships in Missouri, on the other hand, are taxed directly on the partners’ respective incomes. Because all assets and liabilities are considered to be those of the owners themselves, any gains or losses made by the company are taxed directly to the partners in proportion to their ownership interest in the company. There are also fewer deductible business expenses available to partnerships. But, because the taxes are done directly from the partners’ own incomes, there is very little additional paperwork.

Business Law

Kansas City Operations

While corporations must hold regular meetings of the board of directors and shareholders and keep written corporate minutes, members and managers of an LLC need not hold regular meetings, which reduces complications and paperwork. S corporations cannot have more than 100 shareholders. Each shareholder must be an individual who is a U.S. resident or citizen. Also, it is difficult to place shares of an S corporation into a living trust. These restrictions do not apply to LLCs (or C corporations).

Members who are active participants in an LLC’s business can deduct operating losses against their regular income to the extent permitted by law. While S corporation shareholders can also deduct operating losses, C corporation shareholders cannot.

Corporations in Kansas City can offer a greater variety of fringe benefit plans than any other business entity. Various retirement, stock option, and employee stock purchase plans are available only for corporations. While sole proprietors, partners, and employees owning more than 2% of an S corporation must pay taxes on fringe benefits (such as group-term life insurance, medical reimbursement plans, medical insurance premiums and parking), shareholder-employees of a C corporation do not have to pay taxes on these benefits.

Partnerships have the least restriction because they have the least advantages. Partnerships need not have meetings, special paperwork, and are not bound by limitations on ownership.

Commercial Business Lawyer

Conclusion

Corporations, LLC’s, and partnerships in Kansas City all have unique advantages and disadvantages, and any of them may be a great idea for forming your business depending on your unique situation and legal requirements. Of course, your best bet is to consult with an attorney or accountant who is experienced in setting up different business entities to give you clear guidance on which structure will be best for your particular situation and tax needs.

Call us today at (913) 225-8215 to get the best business counsel around. Starting a Company Much of business law addresses the various kinds of enterprise. There are laws concerning the best ways to appropriately form and run each type. This includes laws about entities such as corporations, collaborations and limited liability business. For example, let's state I choose to start my own beauty parlor. I have to choose exactly what type of business I want to be. Will this be a collaboration? Will it be a sole proprietorship? What papers do I have to submit in order to begin this company? These questions fall under the laws that govern business entities, which are state laws. The type of entity I select will also affect how I pay my federal income taxes. These, obviously, are federal laws. Next, exactly what will my company be called? Let's state I choose Shear Chaos as a name for my beauty parlor. If anybody else already has that name, now I need to know. This is a trademark question. Patents, copyrights and hallmarks belong to copyright law. The federal law governs most copyright law. Then I have to understand if I'll require any unique kind of license for this company. Do barbers require a license? Do I require a special city license or other authorization? How will I advertise my business? Am I permitted to state that I'm the 'best in the area?' I'll need to inspect my local and state laws to learn. There are numerous laws that concern managing a business because there are many elements involved in managing. As you can already see, running a business will include a lot of work law and contract law. For my brand-new business, I'll have to know ways to work with, what my agreements should appear like, what type of advantages I have to offer, ways to pay staff member insurance and taxes and even ways to appropriately fire a worker. Numerous of these work and advantage laws are federal laws and are managed by government firms. Contact a certified company legal representative today. Call us today at (913) 225-8215 to get the best business counsel around.

Business Plans For Lawyers in Kansas City, MO

Kansas City Business Plans For Lawyers

Call us today at (913) 225-8215 to get the best business counsel around. Corporate law is a broad expanse of law. It covers various kinds of laws and various subjects. This article briefly describes typically what business law is and how it is made use of. Meaning of Corporate Law Corporate law encompasses all the laws that determine ways to run a business and form. This consists of all the laws that govern the best ways to start, purchase, close and manage or offer any type of company. Business laws establish the guidelines that all businesses must follow. A wise business owner will be generally knowledgeable about business laws and know when to seek the advice of a certified corporate counsel. Corporate law includes state and federal laws, as well as administrative regulations. Let's take a look at some of the locations consisted of under the umbrella of corporate law.

Business Attorneys

Call us today at (913) 225-8215 to get the best business counsel around.

Here is a great article from hg.org which you can find at http://www.hg.org/corp.html

What is Business Law in Kansas City?

Business law in Kansas City, MO deals with the creation of new businesses and the issues that arise as existing businesses interact with the public, other companies, and the government. This area of the law draws on a variety of legal disciplines, including tax law, intellectual property, real estate, sales, employment law, bankruptcy, and others. Business law attorneys specialize in transactional work, meaning they do not represent clients in court. In fact, business lawyers are often hired for the purpose of avoiding future litigation.

To understand the role of business law within the legal system, it helps to view businesses as entities separate from their owners and employees. Just like individuals living together in society, business entities are subject to legal rules designed to give every participant in the marketplace a fair opportunity to succeed.

An enforceable system of business laws also benefits the economy as a whole and provides for more efficient transactions. For example, a supplier who sells goods on credit can be confident that the buyer will held to the agreed payment terms. As long as the contract is drafted and executed in accordance with the Uniform Commercial Code (UCC) adopted in that jurisdiction, the supplier knows ahead of time it will be able to enforce the contract against the buyer if necessary.

Business Formation and Internal Agreements in Missouri

New companies must take steps to comply with the law even before opening their doors for the first time. Business law attorneys are routinely asked to form new entities on behalf of their clients by filing the necessary documents with the Secretary of State. Clients may also need assistance choosing the business entity best suited for their enterprise.

Businesses can be formed as corporations, limited liability companies (LLCs), partnerships, and other entities. Most of these business forms can be further customized to meet the needs of the company. Examples include corporations formed as “S-corps” in order to achieve tax savings, and partnerships formed as “limited partnerships” to allow some owners to participate as investors only.

While the selection of the appropriate business entity will depend on numerous factors, the primary purpose of most entities is to shield owners from individual liability. Operating a business that is not set up to provide limited liability means that the owners are putting all of their personal assets within reach of the business’s creditors. By working with an attorney at the inception of the business, this situation can easily be avoided.

Business law attorneys are also available to draft the internal agreements that will control how a new company is managed. A common example is an LLC operating agreement. This document should be drafted with care, as it governs how the company’s owners will share profits and losses, make important business decisions, and transfer their ownership rights. You really need to understand Business Plans For Lawyers in Kansas City.

Business Lawyers

Navigating Complex Transactions in Kansas City, MO

Some commercial transactions are within the ability of business owners to handle on their own. Others are not, especially when a deal touches on complicated and evolving areas of the law, such as securities regulation or internet commerce. In heavily-regulated industries in particular, companies rely on their in-house or hired lawyers for advice regarding the latest legal developments affecting their businesses.

Even for savvy business people, problems can develop when emotions become involved. Attorneys can provide valuable insight into a transaction, not only because of their legal training, but also because of the objective nature of their analysis. This allows them to spot issues overlooked by business owners and managers who may be too emotionally invested in seeing the deal go through.

Preemptive Measures to Avoid Litigation in Missouri

One way to distinguish business law as its own field of practice is to take note of when these issues arise. Business law provides rules and guidance for companies to follow before disputes occur. Attorneys who practice in this area are experts at structuring transactions to minimize the company’s exposure to litigation. This sort of strategic legal maneuvering can end up saving the company huge amounts of money.

Consider the example of a services company headquartered in one state, with customers all across the nation. The company might hire a lawyer to draft customer agreements that require customers to follow specific dispute procedures, such as giving the company an opportunity to remedy deficient services before a legal claim is made, or providing that disputes must be submitted to arbitration in the company’s home state. In every industry, there are opportunities for business attorneys to save their clients money and provide them with a greater competitive advantage. It’s great to know Business Plans For Lawyers in Missouri.

Corporate Lawyers

Hiring Legal Counsel in Kansas City, Missouri

Call us today at (913) 225-8215 to get the best business counsel around.

If you operate an existing business or plan to launch a new one in Kansas City, your success may depend on obtaining the right legal advice. Attorneys are available to assist with everything from simple buy/sell agreements to mergers and acquisitions of publicly-traded companies. Schedule a consultation with a business law firm today.

Understanding the Differences Between Corporations, LLC’s, and Partnerships in Kansas City

Call us today at (913) 225-8215 to get the best business counsel around.

Ownership in Missouri

In a corporation, the owners are called “shareholders.” The owners of an LLC are called “members.” An LLC has complete freedom to distribute its ownership stake to its members without any regard to a member’s capital contribution to an LLC. This becomes important when profits are distributed to each member. Although a certain member may not have invested as much as another member, an LLC’s operating agreement may specify that all members receive an equal share of the profits.

A Missouri corporation can theoretically do the same by creating a unique stock class structure, but this is limited to C-corps. Unfortunately, a business that wants to be identified as an S-corp to avoid double taxation cannot create a unique stock class structure. As a pre-requisite, an S-corp must have a single class of stocks with its dividends distributed in proportion to a shareholders capital investment. Thus, in order for a corporation to create a unique stock class structure, it must be subject to the double taxation.

The owners of a partnership are, not surprisingly, called “partners.” There is no requirement for a formal written agreement in most jurisdictions when creating a partnership, and the partners of a partnership own all of their company’s assets and liabilities personally in proportion to their ownership interest in the company.


Call us today at (913) 225-8215 to get the best business counsel around.

Taxation in Missouri

We have already touched on this a little, but there are complicated and variable rules regarding taxation among the various business entities. Corporation profits are not subject to Social Security and Medicare taxes. Like a sole proprietorship or a partnership, the salaries and profits of an LLC are subject to self-employment taxes unless the LLC opts to be taxed as a corporation. With a corporation, only salaries (not profits) are subject to such taxes.

An LLC has complete flexibility on how it wants to be taxed whereas a corporation may not. A major disadvantage to the corporate designation (at least for C-corps) is its double taxation implications. A corporation’s profit is taxed once (corporate tax), and the dividends its shareholders receive is then taxed again (individual tax). The S-corporation designation does allow flow-through taxation (no corporate tax), but there are certain requirements to qualify as an S-corp that may limit its application for some businesses, particularly those that want to sell shares to raise capital. Depending on the circumstances of a corporation, it may have no choice but to be a C-corp and face double taxation.

An LLC in Missouri, on the other hand, no matter its structure or organization, can choose how it wants to be taxed. By default, an LLC is treated as a “pass-through” entity (single taxation), but can elect to be taxed as a C-corp or an S-corp (if it qualifies). If a business qualifies as an S-corp, the tax difference between an LLC and S-corp are a bit more nuanced. Both an LLC and an S-corp has flow through taxation (no double taxation). However, an LLC’s distribution of profits is subject to an employment tax, whereas an S-corp’s dividends are not. With careful planning, a small business can avoid significant employment taxes by electing to become an S-corp. There are a few other reasons (like much more paperwork) that may deter a small business from taking this advantage, but you should consult with either an attorney or an accountant experienced with corporate set-up before making a decision on whether to be taxed as an LLC or S-corp.

Partnerships and sole proprietorships in Missouri, on the other hand, are taxed directly on the partners’ respective incomes. Because all assets and liabilities are considered to be those of the owners themselves, any gains or losses made by the company are taxed directly to the partners in proportion to their ownership interest in the company. There are also fewer deductible business expenses available to partnerships. But, because the taxes are done directly from the partners’ own incomes, there is very little additional paperwork.

Business Law

Kansas City Operations

While corporations must hold regular meetings of the board of directors and shareholders and keep written corporate minutes, members and managers of an LLC need not hold regular meetings, which reduces complications and paperwork. S corporations cannot have more than 100 shareholders. Each shareholder must be an individual who is a U.S. resident or citizen. Also, it is difficult to place shares of an S corporation into a living trust. These restrictions do not apply to LLCs (or C corporations).

Members who are active participants in an LLC’s business can deduct operating losses against their regular income to the extent permitted by law. While S corporation shareholders can also deduct operating losses, C corporation shareholders cannot.

Corporations in Kansas City can offer a greater variety of fringe benefit plans than any other business entity. Various retirement, stock option, and employee stock purchase plans are available only for corporations. While sole proprietors, partners, and employees owning more than 2% of an S corporation must pay taxes on fringe benefits (such as group-term life insurance, medical reimbursement plans, medical insurance premiums and parking), shareholder-employees of a C corporation do not have to pay taxes on these benefits.

Partnerships have the least restriction because they have the least advantages. Partnerships need not have meetings, special paperwork, and are not bound by limitations on ownership.

Business Plans For Lawyers

Conclusion

Corporations, LLC’s, and partnerships in Kansas City all have unique advantages and disadvantages, and any of them may be a great idea for forming your business depending on your unique situation and legal requirements. Of course, your best bet is to consult with an attorney or accountant who is experienced in setting up different business entities to give you clear guidance on which structure will be best for your particular situation and tax needs.

Call us today at (913) 225-8215 to get the best business counsel around. Beginning a Business Much of company law addresses the different types of business. There are laws concerning ways to correctly form and run each type. This consists of laws about entities such as corporations, collaborations and limited liability companies. Let's state I decide to start my own hair salon. I need to decide what kind of business I want to be. Will this be a collaboration? Will it be a sole proprietorship? What papers do I need to file in order to start this company? These concerns fall under the laws that govern company entities, which are state laws. The kind of entity I pick will certainly also affect how I pay my federal income taxes. These, obviously, are federal laws. Next, what will my company be called? Let's say I decide on Shear Insanity as a name for my hair salon. Now I have to understand if anybody else currently has that name. This is a hallmark question. Patents, copyrights and trademarks are part of intellectual property law. The federal law governs most intellectual property law. Then I have to understand if I'll require any special kind of license for this business. Do barbers require a license? Do I require an unique city license or other license? How will I market my business? Am I permitted to state that I'm the 'best in town?' I'll have to check my regional and state laws to find out. Due to the fact that there are many elements involved in managing, there are numerous laws that issue managing a business. As you can currently see, running a company will include a lot of employment law and contract law. For my brand-new business, I'll have to know how to hire, what my contracts must appear like, what type of benefits I need to provide, ways to pay worker insurance coverage and taxes as well as how to properly fire an employee. Numerous of these employment and benefit laws are federal laws and are regulated by government agencies. Contact a qualified business legal representative today. Call us today at (913) 225-8215 to get the best business counsel around.

Business Opportunities For Lawyers in Kansas City, MO

Kansas City Business Opportunities For Lawyers

Call us today at (913) 225-8215 to get the best business counsel around. Business law is a broad area of the legal field. It covers many different kinds of laws and many different topics. This article briefly discusses generally exactly what business law is and how it is utilized. Definition of Corporate Law Corporate law encompasses all of the laws that dictate how to run a business and form. Corporate laws develop the policies that all companies ought to follow. Corporate law includes state and federal laws, as well as administrative regulations.

Business Attorneys

Call us today at (913) 225-8215 to get the best business counsel around.

Here is a great article from hg.org which you can find at http://www.hg.org/corp.html

What is Business Law in Kansas City?

Business law in Kansas City, MO deals with the creation of new businesses and the issues that arise as existing businesses interact with the public, other companies, and the government. This area of the law draws on a variety of legal disciplines, including tax law, intellectual property, real estate, sales, employment law, bankruptcy, and others. Business law attorneys specialize in transactional work, meaning they do not represent clients in court. In fact, business lawyers are often hired for the purpose of avoiding future litigation.

To understand the role of business law within the legal system, it helps to view businesses as entities separate from their owners and employees. Just like individuals living together in society, business entities are subject to legal rules designed to give every participant in the marketplace a fair opportunity to succeed.

An enforceable system of business laws also benefits the economy as a whole and provides for more efficient transactions. For example, a supplier who sells goods on credit can be confident that the buyer will held to the agreed payment terms. As long as the contract is drafted and executed in accordance with the Uniform Commercial Code (UCC) adopted in that jurisdiction, the supplier knows ahead of time it will be able to enforce the contract against the buyer if necessary.

Business Formation and Internal Agreements in Missouri

New companies must take steps to comply with the law even before opening their doors for the first time. Business law attorneys are routinely asked to form new entities on behalf of their clients by filing the necessary documents with the Secretary of State. Clients may also need assistance choosing the business entity best suited for their enterprise.

Businesses can be formed as corporations, limited liability companies (LLCs), partnerships, and other entities. Most of these business forms can be further customized to meet the needs of the company. Examples include corporations formed as “S-corps” in order to achieve tax savings, and partnerships formed as “limited partnerships” to allow some owners to participate as investors only.

While the selection of the appropriate business entity will depend on numerous factors, the primary purpose of most entities is to shield owners from individual liability. Operating a business that is not set up to provide limited liability means that the owners are putting all of their personal assets within reach of the business’s creditors. By working with an attorney at the inception of the business, this situation can easily be avoided.

Business law attorneys are also available to draft the internal agreements that will control how a new company is managed. A common example is an LLC operating agreement. This document should be drafted with care, as it governs how the company’s owners will share profits and losses, make important business decisions, and transfer their ownership rights. You really need to understand Business Opportunities For Lawyers in Kansas City.

Business Lawyers

Navigating Complex Transactions in Kansas City, MO

Some commercial transactions are within the ability of business owners to handle on their own. Others are not, especially when a deal touches on complicated and evolving areas of the law, such as securities regulation or internet commerce. In heavily-regulated industries in particular, companies rely on their in-house or hired lawyers for advice regarding the latest legal developments affecting their businesses.

Even for savvy business people, problems can develop when emotions become involved. Attorneys can provide valuable insight into a transaction, not only because of their legal training, but also because of the objective nature of their analysis. This allows them to spot issues overlooked by business owners and managers who may be too emotionally invested in seeing the deal go through.

Preemptive Measures to Avoid Litigation in Missouri

One way to distinguish business law as its own field of practice is to take note of when these issues arise. Business law provides rules and guidance for companies to follow before disputes occur. Attorneys who practice in this area are experts at structuring transactions to minimize the company’s exposure to litigation. This sort of strategic legal maneuvering can end up saving the company huge amounts of money.

Consider the example of a services company headquartered in one state, with customers all across the nation. The company might hire a lawyer to draft customer agreements that require customers to follow specific dispute procedures, such as giving the company an opportunity to remedy deficient services before a legal claim is made, or providing that disputes must be submitted to arbitration in the company’s home state. In every industry, there are opportunities for business attorneys to save their clients money and provide them with a greater competitive advantage. It’s great to know Business Opportunities For Lawyers in Missouri.

Corporate Lawyers

Hiring Legal Counsel in Kansas City, Missouri

Call us today at (913) 225-8215 to get the best business counsel around.

If you operate an existing business or plan to launch a new one in Kansas City, your success may depend on obtaining the right legal advice. Attorneys are available to assist with everything from simple buy/sell agreements to mergers and acquisitions of publicly-traded companies. Schedule a consultation with a business law firm today.

Understanding the Differences Between Corporations, LLC’s, and Partnerships in Kansas City

Call us today at (913) 225-8215 to get the best business counsel around.

Ownership in Missouri

In a corporation, the owners are called “shareholders.” The owners of an LLC are called “members.” An LLC has complete freedom to distribute its ownership stake to its members without any regard to a member’s capital contribution to an LLC. This becomes important when profits are distributed to each member. Although a certain member may not have invested as much as another member, an LLC’s operating agreement may specify that all members receive an equal share of the profits.

A Missouri corporation can theoretically do the same by creating a unique stock class structure, but this is limited to C-corps. Unfortunately, a business that wants to be identified as an S-corp to avoid double taxation cannot create a unique stock class structure. As a pre-requisite, an S-corp must have a single class of stocks with its dividends distributed in proportion to a shareholders capital investment. Thus, in order for a corporation to create a unique stock class structure, it must be subject to the double taxation.

The owners of a partnership are, not surprisingly, called “partners.” There is no requirement for a formal written agreement in most jurisdictions when creating a partnership, and the partners of a partnership own all of their company’s assets and liabilities personally in proportion to their ownership interest in the company.


Call us today at (913) 225-8215 to get the best business counsel around.

Taxation in Missouri

We have already touched on this a little, but there are complicated and variable rules regarding taxation among the various business entities. Corporation profits are not subject to Social Security and Medicare taxes. Like a sole proprietorship or a partnership, the salaries and profits of an LLC are subject to self-employment taxes unless the LLC opts to be taxed as a corporation. With a corporation, only salaries (not profits) are subject to such taxes.

An LLC has complete flexibility on how it wants to be taxed whereas a corporation may not. A major disadvantage to the corporate designation (at least for C-corps) is its double taxation implications. A corporation’s profit is taxed once (corporate tax), and the dividends its shareholders receive is then taxed again (individual tax). The S-corporation designation does allow flow-through taxation (no corporate tax), but there are certain requirements to qualify as an S-corp that may limit its application for some businesses, particularly those that want to sell shares to raise capital. Depending on the circumstances of a corporation, it may have no choice but to be a C-corp and face double taxation.

An LLC in Missouri, on the other hand, no matter its structure or organization, can choose how it wants to be taxed. By default, an LLC is treated as a “pass-through” entity (single taxation), but can elect to be taxed as a C-corp or an S-corp (if it qualifies). If a business qualifies as an S-corp, the tax difference between an LLC and S-corp are a bit more nuanced. Both an LLC and an S-corp has flow through taxation (no double taxation). However, an LLC’s distribution of profits is subject to an employment tax, whereas an S-corp’s dividends are not. With careful planning, a small business can avoid significant employment taxes by electing to become an S-corp. There are a few other reasons (like much more paperwork) that may deter a small business from taking this advantage, but you should consult with either an attorney or an accountant experienced with corporate set-up before making a decision on whether to be taxed as an LLC or S-corp.

Partnerships and sole proprietorships in Missouri, on the other hand, are taxed directly on the partners’ respective incomes. Because all assets and liabilities are considered to be those of the owners themselves, any gains or losses made by the company are taxed directly to the partners in proportion to their ownership interest in the company. There are also fewer deductible business expenses available to partnerships. But, because the taxes are done directly from the partners’ own incomes, there is very little additional paperwork.

Business Law

Kansas City Operations

While corporations must hold regular meetings of the board of directors and shareholders and keep written corporate minutes, members and managers of an LLC need not hold regular meetings, which reduces complications and paperwork. S corporations cannot have more than 100 shareholders. Each shareholder must be an individual who is a U.S. resident or citizen. Also, it is difficult to place shares of an S corporation into a living trust. These restrictions do not apply to LLCs (or C corporations).

Members who are active participants in an LLC’s business can deduct operating losses against their regular income to the extent permitted by law. While S corporation shareholders can also deduct operating losses, C corporation shareholders cannot.

Corporations in Kansas City can offer a greater variety of fringe benefit plans than any other business entity. Various retirement, stock option, and employee stock purchase plans are available only for corporations. While sole proprietors, partners, and employees owning more than 2% of an S corporation must pay taxes on fringe benefits (such as group-term life insurance, medical reimbursement plans, medical insurance premiums and parking), shareholder-employees of a C corporation do not have to pay taxes on these benefits.

Partnerships have the least restriction because they have the least advantages. Partnerships need not have meetings, special paperwork, and are not bound by limitations on ownership.

Business Opportunities For Lawyers

Conclusion

Corporations, LLC’s, and partnerships in Kansas City all have unique advantages and disadvantages, and any of them may be a great idea for forming your business depending on your unique situation and legal requirements. Of course, your best bet is to consult with an attorney or accountant who is experienced in setting up different business entities to give you clear guidance on which structure will be best for your particular situation and tax needs.

Call us today at (913) 225-8215 to get the best business counsel around. Starting a Company Much of company law addresses the various types of business organizations. What documents do I require to file in order to begin this business? These concerns fall under the laws that govern business entities, which are state laws. Next, what will my business be called? Let's say I select Shear Insanity as a name for my beauty parlor. If anybody else currently has that name, now I need to understand. This is a hallmark question. Patents, trademarks and copyrights belong to intellectual property law. The federal law governs most copyright law. Then I need to understand if I'll need any unique type of license for this business. Do barbers need a license? Do I require an unique city license or other permit? How will I advertise my business? Am I allowed to state that I'm the 'finest in the area?' I'll have to inspect my regional and state laws to learn. There are lots of laws that concern handling a company due to the fact that there are numerous aspects associated with managing. As you can currently see, running a business will involve a lot of work law and agreement law. For my brand-new company, I'll have to understand the best ways to hire, what my contracts need to look like, what sort of benefits I have to offer, the best ways to pay worker insurance coverage and taxes as well as the best ways to effectively fire a worker. Numerous of these work and benefit laws are federal laws and are regulated by government companies. Contact a certified company lawyer today. Call us today at (913) 225-8215 to get the best business counsel around.

Business Litigation Law Firm in Kansas City, MO

Kansas City Business Litigation Law Firm

Call us today at (913) 225-8215 to get the best business counsel around. Business law is a broad expanse of law. It covers many different kinds of laws and various topics. This article briefly discusses usually what business law is and how it is made use of. Definition of Corporate Law Corporate law includes all of the laws that dictate how to form and run a company. This consists of all of the laws that govern the best ways to begin, buy, handle and close or offer any type of company. Company laws establish the rules that companies ought to follow. When to seek the suggestions of a certified corporate counsel, a smart businessperson will be generally familiar with business laws and understand. Business law consists of state and federal laws, along with management regulations. Let's have a look at some of the locations consisted of under the umbrella of business law.

Business Attorneys

Call us today at (913) 225-8215 to get the best business counsel around.

Here is a great article from hg.org which you can find at http://www.hg.org/corp.html

What is Business Law in Kansas City?

Business law in Kansas City, MO deals with the creation of new businesses and the issues that arise as existing businesses interact with the public, other companies, and the government. This area of the law draws on a variety of legal disciplines, including tax law, intellectual property, real estate, sales, employment law, bankruptcy, and others. Business law attorneys specialize in transactional work, meaning they do not represent clients in court. In fact, business lawyers are often hired for the purpose of avoiding future litigation.

To understand the role of business law within the legal system, it helps to view businesses as entities separate from their owners and employees. Just like individuals living together in society, business entities are subject to legal rules designed to give every participant in the marketplace a fair opportunity to succeed.

An enforceable system of business laws also benefits the economy as a whole and provides for more efficient transactions. For example, a supplier who sells goods on credit can be confident that the buyer will held to the agreed payment terms. As long as the contract is drafted and executed in accordance with the Uniform Commercial Code (UCC) adopted in that jurisdiction, the supplier knows ahead of time it will be able to enforce the contract against the buyer if necessary.

Business Formation and Internal Agreements in Missouri

New companies must take steps to comply with the law even before opening their doors for the first time. Business law attorneys are routinely asked to form new entities on behalf of their clients by filing the necessary documents with the Secretary of State. Clients may also need assistance choosing the business entity best suited for their enterprise.

Businesses can be formed as corporations, limited liability companies (LLCs), partnerships, and other entities. Most of these business forms can be further customized to meet the needs of the company. Examples include corporations formed as “S-corps” in order to achieve tax savings, and partnerships formed as “limited partnerships” to allow some owners to participate as investors only.

While the selection of the appropriate business entity will depend on numerous factors, the primary purpose of most entities is to shield owners from individual liability. Operating a business that is not set up to provide limited liability means that the owners are putting all of their personal assets within reach of the business’s creditors. By working with an attorney at the inception of the business, this situation can easily be avoided.

Business law attorneys are also available to draft the internal agreements that will control how a new company is managed. A common example is an LLC operating agreement. This document should be drafted with care, as it governs how the company’s owners will share profits and losses, make important business decisions, and transfer their ownership rights. You really need to understand Business Litigation Law Firm in Kansas City.

Business Lawyers

Navigating Complex Transactions in Kansas City, MO

Some commercial transactions are within the ability of business owners to handle on their own. Others are not, especially when a deal touches on complicated and evolving areas of the law, such as securities regulation or internet commerce. In heavily-regulated industries in particular, companies rely on their in-house or hired lawyers for advice regarding the latest legal developments affecting their businesses.

Even for savvy business people, problems can develop when emotions become involved. Attorneys can provide valuable insight into a transaction, not only because of their legal training, but also because of the objective nature of their analysis. This allows them to spot issues overlooked by business owners and managers who may be too emotionally invested in seeing the deal go through.

Preemptive Measures to Avoid Litigation in Missouri

One way to distinguish business law as its own field of practice is to take note of when these issues arise. Business law provides rules and guidance for companies to follow before disputes occur. Attorneys who practice in this area are experts at structuring transactions to minimize the company’s exposure to litigation. This sort of strategic legal maneuvering can end up saving the company huge amounts of money.

Consider the example of a services company headquartered in one state, with customers all across the nation. The company might hire a lawyer to draft customer agreements that require customers to follow specific dispute procedures, such as giving the company an opportunity to remedy deficient services before a legal claim is made, or providing that disputes must be submitted to arbitration in the company’s home state. In every industry, there are opportunities for business attorneys to save their clients money and provide them with a greater competitive advantage. It’s great to know Business Litigation Law Firm in Missouri.

Corporate Lawyers

Hiring Legal Counsel in Kansas City, Missouri

Call us today at (913) 225-8215 to get the best business counsel around.

If you operate an existing business or plan to launch a new one in Kansas City, your success may depend on obtaining the right legal advice. Attorneys are available to assist with everything from simple buy/sell agreements to mergers and acquisitions of publicly-traded companies. Schedule a consultation with a business law firm today.

Understanding the Differences Between Corporations, LLC’s, and Partnerships in Kansas City

Call us today at (913) 225-8215 to get the best business counsel around.

Ownership in Missouri

In a corporation, the owners are called “shareholders.” The owners of an LLC are called “members.” An LLC has complete freedom to distribute its ownership stake to its members without any regard to a member’s capital contribution to an LLC. This becomes important when profits are distributed to each member. Although a certain member may not have invested as much as another member, an LLC’s operating agreement may specify that all members receive an equal share of the profits.

A Missouri corporation can theoretically do the same by creating a unique stock class structure, but this is limited to C-corps. Unfortunately, a business that wants to be identified as an S-corp to avoid double taxation cannot create a unique stock class structure. As a pre-requisite, an S-corp must have a single class of stocks with its dividends distributed in proportion to a shareholders capital investment. Thus, in order for a corporation to create a unique stock class structure, it must be subject to the double taxation.

The owners of a partnership are, not surprisingly, called “partners.” There is no requirement for a formal written agreement in most jurisdictions when creating a partnership, and the partners of a partnership own all of their company’s assets and liabilities personally in proportion to their ownership interest in the company.


Call us today at (913) 225-8215 to get the best business counsel around.

Taxation in Missouri

We have already touched on this a little, but there are complicated and variable rules regarding taxation among the various business entities. Corporation profits are not subject to Social Security and Medicare taxes. Like a sole proprietorship or a partnership, the salaries and profits of an LLC are subject to self-employment taxes unless the LLC opts to be taxed as a corporation. With a corporation, only salaries (not profits) are subject to such taxes.

An LLC has complete flexibility on how it wants to be taxed whereas a corporation may not. A major disadvantage to the corporate designation (at least for C-corps) is its double taxation implications. A corporation’s profit is taxed once (corporate tax), and the dividends its shareholders receive is then taxed again (individual tax). The S-corporation designation does allow flow-through taxation (no corporate tax), but there are certain requirements to qualify as an S-corp that may limit its application for some businesses, particularly those that want to sell shares to raise capital. Depending on the circumstances of a corporation, it may have no choice but to be a C-corp and face double taxation.

An LLC in Missouri, on the other hand, no matter its structure or organization, can choose how it wants to be taxed. By default, an LLC is treated as a “pass-through” entity (single taxation), but can elect to be taxed as a C-corp or an S-corp (if it qualifies). If a business qualifies as an S-corp, the tax difference between an LLC and S-corp are a bit more nuanced. Both an LLC and an S-corp has flow through taxation (no double taxation). However, an LLC’s distribution of profits is subject to an employment tax, whereas an S-corp’s dividends are not. With careful planning, a small business can avoid significant employment taxes by electing to become an S-corp. There are a few other reasons (like much more paperwork) that may deter a small business from taking this advantage, but you should consult with either an attorney or an accountant experienced with corporate set-up before making a decision on whether to be taxed as an LLC or S-corp.

Partnerships and sole proprietorships in Missouri, on the other hand, are taxed directly on the partners’ respective incomes. Because all assets and liabilities are considered to be those of the owners themselves, any gains or losses made by the company are taxed directly to the partners in proportion to their ownership interest in the company. There are also fewer deductible business expenses available to partnerships. But, because the taxes are done directly from the partners’ own incomes, there is very little additional paperwork.

Business Law

Kansas City Operations

While corporations must hold regular meetings of the board of directors and shareholders and keep written corporate minutes, members and managers of an LLC need not hold regular meetings, which reduces complications and paperwork. S corporations cannot have more than 100 shareholders. Each shareholder must be an individual who is a U.S. resident or citizen. Also, it is difficult to place shares of an S corporation into a living trust. These restrictions do not apply to LLCs (or C corporations).

Members who are active participants in an LLC’s business can deduct operating losses against their regular income to the extent permitted by law. While S corporation shareholders can also deduct operating losses, C corporation shareholders cannot.

Corporations in Kansas City can offer a greater variety of fringe benefit plans than any other business entity. Various retirement, stock option, and employee stock purchase plans are available only for corporations. While sole proprietors, partners, and employees owning more than 2% of an S corporation must pay taxes on fringe benefits (such as group-term life insurance, medical reimbursement plans, medical insurance premiums and parking), shareholder-employees of a C corporation do not have to pay taxes on these benefits.

Partnerships have the least restriction because they have the least advantages. Partnerships need not have meetings, special paperwork, and are not bound by limitations on ownership.

Business Litigation Law Firm

Conclusion

Corporations, LLC’s, and partnerships in Kansas City all have unique advantages and disadvantages, and any of them may be a great idea for forming your business depending on your unique situation and legal requirements. Of course, your best bet is to consult with an attorney or accountant who is experienced in setting up different business entities to give you clear guidance on which structure will be best for your particular situation and tax needs.

Call us today at (913) 225-8215 to get the best business counsel around. Beginning a Business Much of business law addresses the various types of company companies. What documents do I require to submit in order to start this company? These questions fall under the laws that govern company entities, which are state laws. Next, what will my business be called? The federal law governs most intellectual building law. I require to understand if I'll need any special type of license for this company. There are lots of laws that concern handling a company since there are numerous aspects included in handling. As you can already see, running a business will involve a lot of employment law and agreement law. Call us today at (913) 225-8215 to get the best business counsel around.

Business Legal Advice in Kansas City, MO

Kansas City Business Legal Advice

Call us today at (913) 225-8215 to get the best business counsel around. Corporate law is a broad expanse of law. It covers many different kinds of laws and various subjects. This article briefly describes typically what business law is and how it's made use of. Meaning of Business Law Business law encompasses all of the laws that dictate how to form and run a company. Business laws establish the policies that all businesses need to follow. Business law consists of state and federal laws, as well as administrative regulations.

Business Attorneys

Call us today at (913) 225-8215 to get the best business counsel around.

Here is a great article from hg.org which you can find at http://www.hg.org/corp.html

What is Business Law in Kansas City?

Business law in Kansas City, MO deals with the creation of new businesses and the issues that arise as existing businesses interact with the public, other companies, and the government. This area of the law draws on a variety of legal disciplines, including tax law, intellectual property, real estate, sales, employment law, bankruptcy, and others. Business law attorneys specialize in transactional work, meaning they do not represent clients in court. In fact, business lawyers are often hired for the purpose of avoiding future litigation.

To understand the role of business law within the legal system, it helps to view businesses as entities separate from their owners and employees. Just like individuals living together in society, business entities are subject to legal rules designed to give every participant in the marketplace a fair opportunity to succeed.

An enforceable system of business laws also benefits the economy as a whole and provides for more efficient transactions. For example, a supplier who sells goods on credit can be confident that the buyer will held to the agreed payment terms. As long as the contract is drafted and executed in accordance with the Uniform Commercial Code (UCC) adopted in that jurisdiction, the supplier knows ahead of time it will be able to enforce the contract against the buyer if necessary.

Business Formation and Internal Agreements in Missouri

New companies must take steps to comply with the law even before opening their doors for the first time. Business law attorneys are routinely asked to form new entities on behalf of their clients by filing the necessary documents with the Secretary of State. Clients may also need assistance choosing the business entity best suited for their enterprise.

Businesses can be formed as corporations, limited liability companies (LLCs), partnerships, and other entities. Most of these business forms can be further customized to meet the needs of the company. Examples include corporations formed as “S-corps” in order to achieve tax savings, and partnerships formed as “limited partnerships” to allow some owners to participate as investors only.

While the selection of the appropriate business entity will depend on numerous factors, the primary purpose of most entities is to shield owners from individual liability. Operating a business that is not set up to provide limited liability means that the owners are putting all of their personal assets within reach of the business’s creditors. By working with an attorney at the inception of the business, this situation can easily be avoided.

Business law attorneys are also available to draft the internal agreements that will control how a new company is managed. A common example is an LLC operating agreement. This document should be drafted with care, as it governs how the company’s owners will share profits and losses, make important business decisions, and transfer their ownership rights. You really need to understand Business Legal Advice in Kansas City.

Business Lawyers

Navigating Complex Transactions in Kansas City, MO

Some commercial transactions are within the ability of business owners to handle on their own. Others are not, especially when a deal touches on complicated and evolving areas of the law, such as securities regulation or internet commerce. In heavily-regulated industries in particular, companies rely on their in-house or hired lawyers for advice regarding the latest legal developments affecting their businesses.

Even for savvy business people, problems can develop when emotions become involved. Attorneys can provide valuable insight into a transaction, not only because of their legal training, but also because of the objective nature of their analysis. This allows them to spot issues overlooked by business owners and managers who may be too emotionally invested in seeing the deal go through.

Preemptive Measures to Avoid Litigation in Missouri

One way to distinguish business law as its own field of practice is to take note of when these issues arise. Business law provides rules and guidance for companies to follow before disputes occur. Attorneys who practice in this area are experts at structuring transactions to minimize the company’s exposure to litigation. This sort of strategic legal maneuvering can end up saving the company huge amounts of money.

Consider the example of a services company headquartered in one state, with customers all across the nation. The company might hire a lawyer to draft customer agreements that require customers to follow specific dispute procedures, such as giving the company an opportunity to remedy deficient services before a legal claim is made, or providing that disputes must be submitted to arbitration in the company’s home state. In every industry, there are opportunities for business attorneys to save their clients money and provide them with a greater competitive advantage. It’s great to know Business Legal Advice in Missouri.

Corporate Lawyers

Hiring Legal Counsel in Kansas City, Missouri

Call us today at (913) 225-8215 to get the best business counsel around.

If you operate an existing business or plan to launch a new one in Kansas City, your success may depend on obtaining the right legal advice. Attorneys are available to assist with everything from simple buy/sell agreements to mergers and acquisitions of publicly-traded companies. Schedule a consultation with a business law firm today.

Understanding the Differences Between Corporations, LLC’s, and Partnerships in Kansas City

Call us today at (913) 225-8215 to get the best business counsel around.

Ownership in Missouri

In a corporation, the owners are called “shareholders.” The owners of an LLC are called “members.” An LLC has complete freedom to distribute its ownership stake to its members without any regard to a member’s capital contribution to an LLC. This becomes important when profits are distributed to each member. Although a certain member may not have invested as much as another member, an LLC’s operating agreement may specify that all members receive an equal share of the profits.

A Missouri corporation can theoretically do the same by creating a unique stock class structure, but this is limited to C-corps. Unfortunately, a business that wants to be identified as an S-corp to avoid double taxation cannot create a unique stock class structure. As a pre-requisite, an S-corp must have a single class of stocks with its dividends distributed in proportion to a shareholders capital investment. Thus, in order for a corporation to create a unique stock class structure, it must be subject to the double taxation.

The owners of a partnership are, not surprisingly, called “partners.” There is no requirement for a formal written agreement in most jurisdictions when creating a partnership, and the partners of a partnership own all of their company’s assets and liabilities personally in proportion to their ownership interest in the company.


Call us today at (913) 225-8215 to get the best business counsel around.

Taxation in Missouri

We have already touched on this a little, but there are complicated and variable rules regarding taxation among the various business entities. Corporation profits are not subject to Social Security and Medicare taxes. Like a sole proprietorship or a partnership, the salaries and profits of an LLC are subject to self-employment taxes unless the LLC opts to be taxed as a corporation. With a corporation, only salaries (not profits) are subject to such taxes.

An LLC has complete flexibility on how it wants to be taxed whereas a corporation may not. A major disadvantage to the corporate designation (at least for C-corps) is its double taxation implications. A corporation’s profit is taxed once (corporate tax), and the dividends its shareholders receive is then taxed again (individual tax). The S-corporation designation does allow flow-through taxation (no corporate tax), but there are certain requirements to qualify as an S-corp that may limit its application for some businesses, particularly those that want to sell shares to raise capital. Depending on the circumstances of a corporation, it may have no choice but to be a C-corp and face double taxation.

An LLC in Missouri, on the other hand, no matter its structure or organization, can choose how it wants to be taxed. By default, an LLC is treated as a “pass-through” entity (single taxation), but can elect to be taxed as a C-corp or an S-corp (if it qualifies). If a business qualifies as an S-corp, the tax difference between an LLC and S-corp are a bit more nuanced. Both an LLC and an S-corp has flow through taxation (no double taxation). However, an LLC’s distribution of profits is subject to an employment tax, whereas an S-corp’s dividends are not. With careful planning, a small business can avoid significant employment taxes by electing to become an S-corp. There are a few other reasons (like much more paperwork) that may deter a small business from taking this advantage, but you should consult with either an attorney or an accountant experienced with corporate set-up before making a decision on whether to be taxed as an LLC or S-corp.

Partnerships and sole proprietorships in Missouri, on the other hand, are taxed directly on the partners’ respective incomes. Because all assets and liabilities are considered to be those of the owners themselves, any gains or losses made by the company are taxed directly to the partners in proportion to their ownership interest in the company. There are also fewer deductible business expenses available to partnerships. But, because the taxes are done directly from the partners’ own incomes, there is very little additional paperwork.

Business Law

Kansas City Operations

While corporations must hold regular meetings of the board of directors and shareholders and keep written corporate minutes, members and managers of an LLC need not hold regular meetings, which reduces complications and paperwork. S corporations cannot have more than 100 shareholders. Each shareholder must be an individual who is a U.S. resident or citizen. Also, it is difficult to place shares of an S corporation into a living trust. These restrictions do not apply to LLCs (or C corporations).

Members who are active participants in an LLC’s business can deduct operating losses against their regular income to the extent permitted by law. While S corporation shareholders can also deduct operating losses, C corporation shareholders cannot.

Corporations in Kansas City can offer a greater variety of fringe benefit plans than any other business entity. Various retirement, stock option, and employee stock purchase plans are available only for corporations. While sole proprietors, partners, and employees owning more than 2% of an S corporation must pay taxes on fringe benefits (such as group-term life insurance, medical reimbursement plans, medical insurance premiums and parking), shareholder-employees of a C corporation do not have to pay taxes on these benefits.

Partnerships have the least restriction because they have the least advantages. Partnerships need not have meetings, special paperwork, and are not bound by limitations on ownership.

Business Legal Advice

Conclusion

Corporations, LLC’s, and partnerships in Kansas City all have unique advantages and disadvantages, and any of them may be a great idea for forming your business depending on your unique situation and legal requirements. Of course, your best bet is to consult with an attorney or accountant who is experienced in setting up different business entities to give you clear guidance on which structure will be best for your particular situation and tax needs.

Call us today at (913) 225-8215 to get the best business counsel around. Beginning a Business Much of company law addresses the various kinds of company. There are laws concerning ways to properly form and run each type. This includes laws about entities such as corporations, partnerships and restricted liability business. For instance, let's say I choose to start my own beauty parlor. I have to decide what type of business I wish to be. Will this be a partnership? Will it be a sole proprietorship? What papers do I have to file in order to start this company? These questions fall under the laws that govern business entities, which are state laws. The kind of entity I pick will certainly also affect how I pay my federal income taxes. These, naturally, are federal laws. Next, exactly what will my company be called? The federal law governs most intellectual commercial property law. I need to know if I'll need any special type of license for this company. There are numerous laws that concern managing a business since there are numerous elements involved in managing. As you can currently see, running a company will certainly involve a lot of work law and contract law. Call us today at (913) 225-8215 to get the best business counsel around.

Business Lawyer Edmonton in Kansas City, MO

Kansas City Business Lawyer Edmonton

Call us today at (913) 225-8215 to get the best business counsel around. Corporate law is a broad area of the legal field. It covers many different types of laws and various topics. This article briefly explains usually what corporate law is and how it's utilized. Definition of Business Law Business law includes all of the laws that dictate how to form and run a company. Corporate laws establish the rules that all businesses should follow. Business law includes state and federal laws, as well as administrative policies.

Business Attorneys

Call us today at (913) 225-8215 to get the best business counsel around.

Here is a great article from hg.org which you can find at http://www.hg.org/corp.html

What is Business Law in Kansas City?

Business law in Kansas City, MO deals with the creation of new businesses and the issues that arise as existing businesses interact with the public, other companies, and the government. This area of the law draws on a variety of legal disciplines, including tax law, intellectual property, real estate, sales, employment law, bankruptcy, and others. Business law attorneys specialize in transactional work, meaning they do not represent clients in court. In fact, business lawyers are often hired for the purpose of avoiding future litigation.

To understand the role of business law within the legal system, it helps to view businesses as entities separate from their owners and employees. Just like individuals living together in society, business entities are subject to legal rules designed to give every participant in the marketplace a fair opportunity to succeed.

An enforceable system of business laws also benefits the economy as a whole and provides for more efficient transactions. For example, a supplier who sells goods on credit can be confident that the buyer will held to the agreed payment terms. As long as the contract is drafted and executed in accordance with the Uniform Commercial Code (UCC) adopted in that jurisdiction, the supplier knows ahead of time it will be able to enforce the contract against the buyer if necessary.

Business Formation and Internal Agreements in Missouri

New companies must take steps to comply with the law even before opening their doors for the first time. Business law attorneys are routinely asked to form new entities on behalf of their clients by filing the necessary documents with the Secretary of State. Clients may also need assistance choosing the business entity best suited for their enterprise.

Businesses can be formed as corporations, limited liability companies (LLCs), partnerships, and other entities. Most of these business forms can be further customized to meet the needs of the company. Examples include corporations formed as “S-corps” in order to achieve tax savings, and partnerships formed as “limited partnerships” to allow some owners to participate as investors only.

While the selection of the appropriate business entity will depend on numerous factors, the primary purpose of most entities is to shield owners from individual liability. Operating a business that is not set up to provide limited liability means that the owners are putting all of their personal assets within reach of the business’s creditors. By working with an attorney at the inception of the business, this situation can easily be avoided.

Business law attorneys are also available to draft the internal agreements that will control how a new company is managed. A common example is an LLC operating agreement. This document should be drafted with care, as it governs how the company’s owners will share profits and losses, make important business decisions, and transfer their ownership rights. You really need to understand Business Lawyer Edmonton in Kansas City.

Business Lawyers

Navigating Complex Transactions in Kansas City, MO

Some commercial transactions are within the ability of business owners to handle on their own. Others are not, especially when a deal touches on complicated and evolving areas of the law, such as securities regulation or internet commerce. In heavily-regulated industries in particular, companies rely on their in-house or hired lawyers for advice regarding the latest legal developments affecting their businesses.

Even for savvy business people, problems can develop when emotions become involved. Attorneys can provide valuable insight into a transaction, not only because of their legal training, but also because of the objective nature of their analysis. This allows them to spot issues overlooked by business owners and managers who may be too emotionally invested in seeing the deal go through.

Preemptive Measures to Avoid Litigation in Missouri

One way to distinguish business law as its own field of practice is to take note of when these issues arise. Business law provides rules and guidance for companies to follow before disputes occur. Attorneys who practice in this area are experts at structuring transactions to minimize the company’s exposure to litigation. This sort of strategic legal maneuvering can end up saving the company huge amounts of money.

Consider the example of a services company headquartered in one state, with customers all across the nation. The company might hire a lawyer to draft customer agreements that require customers to follow specific dispute procedures, such as giving the company an opportunity to remedy deficient services before a legal claim is made, or providing that disputes must be submitted to arbitration in the company’s home state. In every industry, there are opportunities for business attorneys to save their clients money and provide them with a greater competitive advantage. It’s great to know Business Lawyer Edmonton in Missouri.

Corporate Lawyers

Hiring Legal Counsel in Kansas City, Missouri

Call us today at (913) 225-8215 to get the best business counsel around.

If you operate an existing business or plan to launch a new one in Kansas City, your success may depend on obtaining the right legal advice. Attorneys are available to assist with everything from simple buy/sell agreements to mergers and acquisitions of publicly-traded companies. Schedule a consultation with a business law firm today.

Understanding the Differences Between Corporations, LLC’s, and Partnerships in Kansas City

Call us today at (913) 225-8215 to get the best business counsel around.

Ownership in Missouri

In a corporation, the owners are called “shareholders.” The owners of an LLC are called “members.” An LLC has complete freedom to distribute its ownership stake to its members without any regard to a member’s capital contribution to an LLC. This becomes important when profits are distributed to each member. Although a certain member may not have invested as much as another member, an LLC’s operating agreement may specify that all members receive an equal share of the profits.

A Missouri corporation can theoretically do the same by creating a unique stock class structure, but this is limited to C-corps. Unfortunately, a business that wants to be identified as an S-corp to avoid double taxation cannot create a unique stock class structure. As a pre-requisite, an S-corp must have a single class of stocks with its dividends distributed in proportion to a shareholders capital investment. Thus, in order for a corporation to create a unique stock class structure, it must be subject to the double taxation.

The owners of a partnership are, not surprisingly, called “partners.” There is no requirement for a formal written agreement in most jurisdictions when creating a partnership, and the partners of a partnership own all of their company’s assets and liabilities personally in proportion to their ownership interest in the company.


Call us today at (913) 225-8215 to get the best business counsel around.

Taxation in Missouri

We have already touched on this a little, but there are complicated and variable rules regarding taxation among the various business entities. Corporation profits are not subject to Social Security and Medicare taxes. Like a sole proprietorship or a partnership, the salaries and profits of an LLC are subject to self-employment taxes unless the LLC opts to be taxed as a corporation. With a corporation, only salaries (not profits) are subject to such taxes.

An LLC has complete flexibility on how it wants to be taxed whereas a corporation may not. A major disadvantage to the corporate designation (at least for C-corps) is its double taxation implications. A corporation’s profit is taxed once (corporate tax), and the dividends its shareholders receive is then taxed again (individual tax). The S-corporation designation does allow flow-through taxation (no corporate tax), but there are certain requirements to qualify as an S-corp that may limit its application for some businesses, particularly those that want to sell shares to raise capital. Depending on the circumstances of a corporation, it may have no choice but to be a C-corp and face double taxation.

An LLC in Missouri, on the other hand, no matter its structure or organization, can choose how it wants to be taxed. By default, an LLC is treated as a “pass-through” entity (single taxation), but can elect to be taxed as a C-corp or an S-corp (if it qualifies). If a business qualifies as an S-corp, the tax difference between an LLC and S-corp are a bit more nuanced. Both an LLC and an S-corp has flow through taxation (no double taxation). However, an LLC’s distribution of profits is subject to an employment tax, whereas an S-corp’s dividends are not. With careful planning, a small business can avoid significant employment taxes by electing to become an S-corp. There are a few other reasons (like much more paperwork) that may deter a small business from taking this advantage, but you should consult with either an attorney or an accountant experienced with corporate set-up before making a decision on whether to be taxed as an LLC or S-corp.

Partnerships and sole proprietorships in Missouri, on the other hand, are taxed directly on the partners’ respective incomes. Because all assets and liabilities are considered to be those of the owners themselves, any gains or losses made by the company are taxed directly to the partners in proportion to their ownership interest in the company. There are also fewer deductible business expenses available to partnerships. But, because the taxes are done directly from the partners’ own incomes, there is very little additional paperwork.

Business Law

Kansas City Operations

While corporations must hold regular meetings of the board of directors and shareholders and keep written corporate minutes, members and managers of an LLC need not hold regular meetings, which reduces complications and paperwork. S corporations cannot have more than 100 shareholders. Each shareholder must be an individual who is a U.S. resident or citizen. Also, it is difficult to place shares of an S corporation into a living trust. These restrictions do not apply to LLCs (or C corporations).

Members who are active participants in an LLC’s business can deduct operating losses against their regular income to the extent permitted by law. While S corporation shareholders can also deduct operating losses, C corporation shareholders cannot.

Corporations in Kansas City can offer a greater variety of fringe benefit plans than any other business entity. Various retirement, stock option, and employee stock purchase plans are available only for corporations. While sole proprietors, partners, and employees owning more than 2% of an S corporation must pay taxes on fringe benefits (such as group-term life insurance, medical reimbursement plans, medical insurance premiums and parking), shareholder-employees of a C corporation do not have to pay taxes on these benefits.

Partnerships have the least restriction because they have the least advantages. Partnerships need not have meetings, special paperwork, and are not bound by limitations on ownership.

Business Lawyer Edmonton

Conclusion

Corporations, LLC’s, and partnerships in Kansas City all have unique advantages and disadvantages, and any of them may be a great idea for forming your business depending on your unique situation and legal requirements. Of course, your best bet is to consult with an attorney or accountant who is experienced in setting up different business entities to give you clear guidance on which structure will be best for your particular situation and tax needs.

Call us today at (913) 225-8215 to get the best business counsel around. Beginning a Company Much of company law addresses the various kinds of company. There are laws regarding the best ways to effectively run each type and form. This consists of laws about entities such as corporations, collaborations and limited liability companies. For instance, let's say I decide to start my own beauty parlor. I have to decide what kind of company I want to be. Will this be a collaboration? Will it be a sole proprietorship? What papers do I need to submit in order to start this business? These questions fall under the laws that govern business entities, which are state laws. The type of entity I choose will also affect how I pay my federal income taxes. These, naturally, are federal laws. Next, exactly what will my business be called? The federal law governs most intellectual property law. I require to know if I'll require any unique type of license for this company. There are many laws that issue managing a business due to the fact that there are many elements involved in managing. As you can already see, running a business will involve a lot of work law and contract law. Call us today at (913) 225-8215 to get the best business counsel around.

Business Jobs For Lawyers in Kansas City, MO

Kansas City Business Jobs For Lawyers

Call us today at (913) 225-8215 to get the best business counsel around. Corporate law is a broad area of law. It covers many different types of laws and various subjects. This article briefly discusses normally exactly what business law is and how it is made use of. Meaning of Business Law Corporate law incorporates all of the laws that dictate how to form and run a company. Corporate laws establish the policies that all companies ought to follow. Business law includes state and federal laws, as well as administrative regulations.

Business Attorneys

Call us today at (913) 225-8215 to get the best business counsel around.

Here is a great article from hg.org which you can find at http://www.hg.org/corp.html

What is Business Law in Kansas City?

Business law in Kansas City, MO deals with the creation of new businesses and the issues that arise as existing businesses interact with the public, other companies, and the government. This area of the law draws on a variety of legal disciplines, including tax law, intellectual property, real estate, sales, employment law, bankruptcy, and others. Business law attorneys specialize in transactional work, meaning they do not represent clients in court. In fact, business lawyers are often hired for the purpose of avoiding future litigation.

To understand the role of business law within the legal system, it helps to view businesses as entities separate from their owners and employees. Just like individuals living together in society, business entities are subject to legal rules designed to give every participant in the marketplace a fair opportunity to succeed.

An enforceable system of business laws also benefits the economy as a whole and provides for more efficient transactions. For example, a supplier who sells goods on credit can be confident that the buyer will held to the agreed payment terms. As long as the contract is drafted and executed in accordance with the Uniform Commercial Code (UCC) adopted in that jurisdiction, the supplier knows ahead of time it will be able to enforce the contract against the buyer if necessary.

Business Formation and Internal Agreements in Missouri

New companies must take steps to comply with the law even before opening their doors for the first time. Business law attorneys are routinely asked to form new entities on behalf of their clients by filing the necessary documents with the Secretary of State. Clients may also need assistance choosing the business entity best suited for their enterprise.

Businesses can be formed as corporations, limited liability companies (LLCs), partnerships, and other entities. Most of these business forms can be further customized to meet the needs of the company. Examples include corporations formed as “S-corps” in order to achieve tax savings, and partnerships formed as “limited partnerships” to allow some owners to participate as investors only.

While the selection of the appropriate business entity will depend on numerous factors, the primary purpose of most entities is to shield owners from individual liability. Operating a business that is not set up to provide limited liability means that the owners are putting all of their personal assets within reach of the business’s creditors. By working with an attorney at the inception of the business, this situation can easily be avoided.

Business law attorneys are also available to draft the internal agreements that will control how a new company is managed. A common example is an LLC operating agreement. This document should be drafted with care, as it governs how the company’s owners will share profits and losses, make important business decisions, and transfer their ownership rights. You really need to understand Business Jobs For Lawyers in Kansas City.

Business Lawyers

Navigating Complex Transactions in Kansas City, MO

Some commercial transactions are within the ability of business owners to handle on their own. Others are not, especially when a deal touches on complicated and evolving areas of the law, such as securities regulation or internet commerce. In heavily-regulated industries in particular, companies rely on their in-house or hired lawyers for advice regarding the latest legal developments affecting their businesses.

Even for savvy business people, problems can develop when emotions become involved. Attorneys can provide valuable insight into a transaction, not only because of their legal training, but also because of the objective nature of their analysis. This allows them to spot issues overlooked by business owners and managers who may be too emotionally invested in seeing the deal go through.

Preemptive Measures to Avoid Litigation in Missouri

One way to distinguish business law as its own field of practice is to take note of when these issues arise. Business law provides rules and guidance for companies to follow before disputes occur. Attorneys who practice in this area are experts at structuring transactions to minimize the company’s exposure to litigation. This sort of strategic legal maneuvering can end up saving the company huge amounts of money.

Consider the example of a services company headquartered in one state, with customers all across the nation. The company might hire a lawyer to draft customer agreements that require customers to follow specific dispute procedures, such as giving the company an opportunity to remedy deficient services before a legal claim is made, or providing that disputes must be submitted to arbitration in the company’s home state. In every industry, there are opportunities for business attorneys to save their clients money and provide them with a greater competitive advantage. It’s great to know Business Jobs For Lawyers in Missouri.

Corporate Lawyers

Hiring Legal Counsel in Kansas City, Missouri

Call us today at (913) 225-8215 to get the best business counsel around.

If you operate an existing business or plan to launch a new one in Kansas City, your success may depend on obtaining the right legal advice. Attorneys are available to assist with everything from simple buy/sell agreements to mergers and acquisitions of publicly-traded companies. Schedule a consultation with a business law firm today.

Understanding the Differences Between Corporations, LLC’s, and Partnerships in Kansas City

Call us today at (913) 225-8215 to get the best business counsel around.

Ownership in Missouri

In a corporation, the owners are called “shareholders.” The owners of an LLC are called “members.” An LLC has complete freedom to distribute its ownership stake to its members without any regard to a member’s capital contribution to an LLC. This becomes important when profits are distributed to each member. Although a certain member may not have invested as much as another member, an LLC’s operating agreement may specify that all members receive an equal share of the profits.

A Missouri corporation can theoretically do the same by creating a unique stock class structure, but this is limited to C-corps. Unfortunately, a business that wants to be identified as an S-corp to avoid double taxation cannot create a unique stock class structure. As a pre-requisite, an S-corp must have a single class of stocks with its dividends distributed in proportion to a shareholders capital investment. Thus, in order for a corporation to create a unique stock class structure, it must be subject to the double taxation.

The owners of a partnership are, not surprisingly, called “partners.” There is no requirement for a formal written agreement in most jurisdictions when creating a partnership, and the partners of a partnership own all of their company’s assets and liabilities personally in proportion to their ownership interest in the company.


Call us today at (913) 225-8215 to get the best business counsel around.

Taxation in Missouri

We have already touched on this a little, but there are complicated and variable rules regarding taxation among the various business entities. Corporation profits are not subject to Social Security and Medicare taxes. Like a sole proprietorship or a partnership, the salaries and profits of an LLC are subject to self-employment taxes unless the LLC opts to be taxed as a corporation. With a corporation, only salaries (not profits) are subject to such taxes.

An LLC has complete flexibility on how it wants to be taxed whereas a corporation may not. A major disadvantage to the corporate designation (at least for C-corps) is its double taxation implications. A corporation’s profit is taxed once (corporate tax), and the dividends its shareholders receive is then taxed again (individual tax). The S-corporation designation does allow flow-through taxation (no corporate tax), but there are certain requirements to qualify as an S-corp that may limit its application for some businesses, particularly those that want to sell shares to raise capital. Depending on the circumstances of a corporation, it may have no choice but to be a C-corp and face double taxation.

An LLC in Missouri, on the other hand, no matter its structure or organization, can choose how it wants to be taxed. By default, an LLC is treated as a “pass-through” entity (single taxation), but can elect to be taxed as a C-corp or an S-corp (if it qualifies). If a business qualifies as an S-corp, the tax difference between an LLC and S-corp are a bit more nuanced. Both an LLC and an S-corp has flow through taxation (no double taxation). However, an LLC’s distribution of profits is subject to an employment tax, whereas an S-corp’s dividends are not. With careful planning, a small business can avoid significant employment taxes by electing to become an S-corp. There are a few other reasons (like much more paperwork) that may deter a small business from taking this advantage, but you should consult with either an attorney or an accountant experienced with corporate set-up before making a decision on whether to be taxed as an LLC or S-corp.

Partnerships and sole proprietorships in Missouri, on the other hand, are taxed directly on the partners’ respective incomes. Because all assets and liabilities are considered to be those of the owners themselves, any gains or losses made by the company are taxed directly to the partners in proportion to their ownership interest in the company. There are also fewer deductible business expenses available to partnerships. But, because the taxes are done directly from the partners’ own incomes, there is very little additional paperwork.

Business Law

Kansas City Operations

While corporations must hold regular meetings of the board of directors and shareholders and keep written corporate minutes, members and managers of an LLC need not hold regular meetings, which reduces complications and paperwork. S corporations cannot have more than 100 shareholders. Each shareholder must be an individual who is a U.S. resident or citizen. Also, it is difficult to place shares of an S corporation into a living trust. These restrictions do not apply to LLCs (or C corporations).

Members who are active participants in an LLC’s business can deduct operating losses against their regular income to the extent permitted by law. While S corporation shareholders can also deduct operating losses, C corporation shareholders cannot.

Corporations in Kansas City can offer a greater variety of fringe benefit plans than any other business entity. Various retirement, stock option, and employee stock purchase plans are available only for corporations. While sole proprietors, partners, and employees owning more than 2% of an S corporation must pay taxes on fringe benefits (such as group-term life insurance, medical reimbursement plans, medical insurance premiums and parking), shareholder-employees of a C corporation do not have to pay taxes on these benefits.

Partnerships have the least restriction because they have the least advantages. Partnerships need not have meetings, special paperwork, and are not bound by limitations on ownership.

Business Jobs For Lawyers

Conclusion

Corporations, LLC’s, and partnerships in Kansas City all have unique advantages and disadvantages, and any of them may be a great idea for forming your business depending on your unique situation and legal requirements. Of course, your best bet is to consult with an attorney or accountant who is experienced in setting up different business entities to give you clear guidance on which structure will be best for your particular situation and tax needs.

Call us today at (913) 225-8215 to get the best business counsel around. Beginning a Business Much of business law addresses the various types of business. There are laws regarding how to properly run each type and form. This includes laws about entities such as corporations, collaborations and restricted liability business. For instance, let's state I decide to start my own hair salon. I have to decide exactly what type of company I wish to be. Will this be a collaboration? Will it be a sole proprietorship? What documents do I have to file in order to start this business? These concerns fall under the laws that govern business entities, which are state laws. The kind of entity I pick will likewise impact how I pay my federal income taxes. These, naturally, are federal laws. Next, exactly what will my business be called? The federal law governs most intellectual commercial property law. I require to know if I'll need any unique type of license for this business. There are many laws that issue managing a company due to the fact that there are many aspects included in handling. As you can already see, running a company will involve a lot of work law and contract law. Call us today at (913) 225-8215 to get the best business counsel around.

Business Hiring in Kansas City, MO

Kansas City Business Hiring

Call us today at (913) 225-8215 to get the best business counsel around. Corporate law is a broad expanse of law. It covers various kinds of laws and many different subjects. This article briefly explains normally what business law is and how it's utilized. Definition of Business Law Business law includes all of the laws that dictate the best ways to run a business and form. This includes all of the laws that govern how to start, purchase, close and manage or sell any type of business. Company laws develop the policies that businesses must follow. A wise businessperson will certainly be typically acquainted with corporate laws and know when to look for the recommendations of a licensed corporate counsel. Business law includes state and federal laws, as well as administrative policies. Let's have a look at some of the locations consisted of under the umbrella of business law.

Business Attorneys

Call us today at (913) 225-8215 to get the best business counsel around.

Here is a great article from hg.org which you can find at http://www.hg.org/corp.html

What is Business Law in Kansas City?

Business law in Kansas City, MO deals with the creation of new businesses and the issues that arise as existing businesses interact with the public, other companies, and the government. This area of the law draws on a variety of legal disciplines, including tax law, intellectual property, real estate, sales, employment law, bankruptcy, and others. Business law attorneys specialize in transactional work, meaning they do not represent clients in court. In fact, business lawyers are often hired for the purpose of avoiding future litigation.

To understand the role of business law within the legal system, it helps to view businesses as entities separate from their owners and employees. Just like individuals living together in society, business entities are subject to legal rules designed to give every participant in the marketplace a fair opportunity to succeed.

An enforceable system of business laws also benefits the economy as a whole and provides for more efficient transactions. For example, a supplier who sells goods on credit can be confident that the buyer will held to the agreed payment terms. As long as the contract is drafted and executed in accordance with the Uniform Commercial Code (UCC) adopted in that jurisdiction, the supplier knows ahead of time it will be able to enforce the contract against the buyer if necessary.

Business Formation and Internal Agreements in Missouri

New companies must take steps to comply with the law even before opening their doors for the first time. Business law attorneys are routinely asked to form new entities on behalf of their clients by filing the necessary documents with the Secretary of State. Clients may also need assistance choosing the business entity best suited for their enterprise.

Businesses can be formed as corporations, limited liability companies (LLCs), partnerships, and other entities. Most of these business forms can be further customized to meet the needs of the company. Examples include corporations formed as “S-corps” in order to achieve tax savings, and partnerships formed as “limited partnerships” to allow some owners to participate as investors only.

While the selection of the appropriate business entity will depend on numerous factors, the primary purpose of most entities is to shield owners from individual liability. Operating a business that is not set up to provide limited liability means that the owners are putting all of their personal assets within reach of the business’s creditors. By working with an attorney at the inception of the business, this situation can easily be avoided.

Business law attorneys are also available to draft the internal agreements that will control how a new company is managed. A common example is an LLC operating agreement. This document should be drafted with care, as it governs how the company’s owners will share profits and losses, make important business decisions, and transfer their ownership rights. You really need to understand Business Hiring in Kansas City.

Business Lawyers

Navigating Complex Transactions in Kansas City, MO

Some commercial transactions are within the ability of business owners to handle on their own. Others are not, especially when a deal touches on complicated and evolving areas of the law, such as securities regulation or internet commerce. In heavily-regulated industries in particular, companies rely on their in-house or hired lawyers for advice regarding the latest legal developments affecting their businesses.

Even for savvy business people, problems can develop when emotions become involved. Attorneys can provide valuable insight into a transaction, not only because of their legal training, but also because of the objective nature of their analysis. This allows them to spot issues overlooked by business owners and managers who may be too emotionally invested in seeing the deal go through.

Preemptive Measures to Avoid Litigation in Missouri

One way to distinguish business law as its own field of practice is to take note of when these issues arise. Business law provides rules and guidance for companies to follow before disputes occur. Attorneys who practice in this area are experts at structuring transactions to minimize the company’s exposure to litigation. This sort of strategic legal maneuvering can end up saving the company huge amounts of money.

Consider the example of a services company headquartered in one state, with customers all across the nation. The company might hire a lawyer to draft customer agreements that require customers to follow specific dispute procedures, such as giving the company an opportunity to remedy deficient services before a legal claim is made, or providing that disputes must be submitted to arbitration in the company’s home state. In every industry, there are opportunities for business attorneys to save their clients money and provide them with a greater competitive advantage. It’s great to know Business Hiring in Missouri.

Corporate Lawyers

Hiring Legal Counsel in Kansas City, Missouri

Call us today at (913) 225-8215 to get the best business counsel around.

If you operate an existing business or plan to launch a new one in Kansas City, your success may depend on obtaining the right legal advice. Attorneys are available to assist with everything from simple buy/sell agreements to mergers and acquisitions of publicly-traded companies. Schedule a consultation with a business law firm today.

Understanding the Differences Between Corporations, LLC’s, and Partnerships in Kansas City

Call us today at (913) 225-8215 to get the best business counsel around.

Ownership in Missouri

In a corporation, the owners are called “shareholders.” The owners of an LLC are called “members.” An LLC has complete freedom to distribute its ownership stake to its members without any regard to a member’s capital contribution to an LLC. This becomes important when profits are distributed to each member. Although a certain member may not have invested as much as another member, an LLC’s operating agreement may specify that all members receive an equal share of the profits.

A Missouri corporation can theoretically do the same by creating a unique stock class structure, but this is limited to C-corps. Unfortunately, a business that wants to be identified as an S-corp to avoid double taxation cannot create a unique stock class structure. As a pre-requisite, an S-corp must have a single class of stocks with its dividends distributed in proportion to a shareholders capital investment. Thus, in order for a corporation to create a unique stock class structure, it must be subject to the double taxation.

The owners of a partnership are, not surprisingly, called “partners.” There is no requirement for a formal written agreement in most jurisdictions when creating a partnership, and the partners of a partnership own all of their company’s assets and liabilities personally in proportion to their ownership interest in the company.


Call us today at (913) 225-8215 to get the best business counsel around.

Taxation in Missouri

We have already touched on this a little, but there are complicated and variable rules regarding taxation among the various business entities. Corporation profits are not subject to Social Security and Medicare taxes. Like a sole proprietorship or a partnership, the salaries and profits of an LLC are subject to self-employment taxes unless the LLC opts to be taxed as a corporation. With a corporation, only salaries (not profits) are subject to such taxes.

An LLC has complete flexibility on how it wants to be taxed whereas a corporation may not. A major disadvantage to the corporate designation (at least for C-corps) is its double taxation implications. A corporation’s profit is taxed once (corporate tax), and the dividends its shareholders receive is then taxed again (individual tax). The S-corporation designation does allow flow-through taxation (no corporate tax), but there are certain requirements to qualify as an S-corp that may limit its application for some businesses, particularly those that want to sell shares to raise capital. Depending on the circumstances of a corporation, it may have no choice but to be a C-corp and face double taxation.

An LLC in Missouri, on the other hand, no matter its structure or organization, can choose how it wants to be taxed. By default, an LLC is treated as a “pass-through” entity (single taxation), but can elect to be taxed as a C-corp or an S-corp (if it qualifies). If a business qualifies as an S-corp, the tax difference between an LLC and S-corp are a bit more nuanced. Both an LLC and an S-corp has flow through taxation (no double taxation). However, an LLC’s distribution of profits is subject to an employment tax, whereas an S-corp’s dividends are not. With careful planning, a small business can avoid significant employment taxes by electing to become an S-corp. There are a few other reasons (like much more paperwork) that may deter a small business from taking this advantage, but you should consult with either an attorney or an accountant experienced with corporate set-up before making a decision on whether to be taxed as an LLC or S-corp.

Partnerships and sole proprietorships in Missouri, on the other hand, are taxed directly on the partners’ respective incomes. Because all assets and liabilities are considered to be those of the owners themselves, any gains or losses made by the company are taxed directly to the partners in proportion to their ownership interest in the company. There are also fewer deductible business expenses available to partnerships. But, because the taxes are done directly from the partners’ own incomes, there is very little additional paperwork.

Business Law

Kansas City Operations

While corporations must hold regular meetings of the board of directors and shareholders and keep written corporate minutes, members and managers of an LLC need not hold regular meetings, which reduces complications and paperwork. S corporations cannot have more than 100 shareholders. Each shareholder must be an individual who is a U.S. resident or citizen. Also, it is difficult to place shares of an S corporation into a living trust. These restrictions do not apply to LLCs (or C corporations).

Members who are active participants in an LLC’s business can deduct operating losses against their regular income to the extent permitted by law. While S corporation shareholders can also deduct operating losses, C corporation shareholders cannot.

Corporations in Kansas City can offer a greater variety of fringe benefit plans than any other business entity. Various retirement, stock option, and employee stock purchase plans are available only for corporations. While sole proprietors, partners, and employees owning more than 2% of an S corporation must pay taxes on fringe benefits (such as group-term life insurance, medical reimbursement plans, medical insurance premiums and parking), shareholder-employees of a C corporation do not have to pay taxes on these benefits.

Partnerships have the least restriction because they have the least advantages. Partnerships need not have meetings, special paperwork, and are not bound by limitations on ownership.

Business Hiring

Conclusion

Corporations, LLC’s, and partnerships in Kansas City all have unique advantages and disadvantages, and any of them may be a great idea for forming your business depending on your unique situation and legal requirements. Of course, your best bet is to consult with an attorney or accountant who is experienced in setting up different business entities to give you clear guidance on which structure will be best for your particular situation and tax needs.

Call us today at (913) 225-8215 to get the best business counsel around. Beginning a Business Much of company law addresses the different types of business organizations. What papers do I need to submit in order to begin this business? These questions fall under the laws that govern company entities, which are state laws. Next, exactly what will my company be called? The federal law governs most intellectual building law. I require to know if I'll require any unique type of license for this company. Since there are numerous elements involved in handling, there are numerous laws that concern managing a company. As you can currently see, running a business will involve a lot of work law and contract law. For my brand-new company, I'll have to know ways to hire, what my contracts need to resemble, what sort of benefits I have to offer, the best ways to pay employee insurance and taxes and even ways to correctly fire an employee. Numerous of these employment and benefit laws are federal laws and are controlled by government companies. Contact a certified company legal representative today. Call us today at (913) 225-8215 to get the best business counsel around.

Business Fraud Lawyer in Kansas City, MO

Kansas City Business Fraud Lawyer

Call us today at (913) 225-8215 to get the best business counsel around. Corporate law is a broad area of law. It covers many different types of laws and various topics. This article briefly describes usually exactly what business law is and how it is made use of. Definition of Corporate Law Corporate law includes all the laws that dictate the best ways to run a company and form. This consists of all the laws that govern how to begin, purchase, close and handle or sell any type of business. Company laws establish the rules that businesses should follow. When to seek the recommendations of a certified lawyer, a wise businessperson will certainly be usually familiar with company laws and understand. Corporate law includes state and federal laws, along with management regulations. Let's take a look at a few of the locations included under the umbrella of corporate law.

Business Attorneys

Call us today at (913) 225-8215 to get the best business counsel around.

Here is a great article from hg.org which you can find at http://www.hg.org/corp.html

What is Business Law in Kansas City?

Business law in Kansas City, MO deals with the creation of new businesses and the issues that arise as existing businesses interact with the public, other companies, and the government. This area of the law draws on a variety of legal disciplines, including tax law, intellectual property, real estate, sales, employment law, bankruptcy, and others. Business law attorneys specialize in transactional work, meaning they do not represent clients in court. In fact, business lawyers are often hired for the purpose of avoiding future litigation.

To understand the role of business law within the legal system, it helps to view businesses as entities separate from their owners and employees. Just like individuals living together in society, business entities are subject to legal rules designed to give every participant in the marketplace a fair opportunity to succeed.

An enforceable system of business laws also benefits the economy as a whole and provides for more efficient transactions. For example, a supplier who sells goods on credit can be confident that the buyer will held to the agreed payment terms. As long as the contract is drafted and executed in accordance with the Uniform Commercial Code (UCC) adopted in that jurisdiction, the supplier knows ahead of time it will be able to enforce the contract against the buyer if necessary.

Business Formation and Internal Agreements in Missouri

New companies must take steps to comply with the law even before opening their doors for the first time. Business law attorneys are routinely asked to form new entities on behalf of their clients by filing the necessary documents with the Secretary of State. Clients may also need assistance choosing the business entity best suited for their enterprise.

Businesses can be formed as corporations, limited liability companies (LLCs), partnerships, and other entities. Most of these business forms can be further customized to meet the needs of the company. Examples include corporations formed as “S-corps” in order to achieve tax savings, and partnerships formed as “limited partnerships” to allow some owners to participate as investors only.

While the selection of the appropriate business entity will depend on numerous factors, the primary purpose of most entities is to shield owners from individual liability. Operating a business that is not set up to provide limited liability means that the owners are putting all of their personal assets within reach of the business’s creditors. By working with an attorney at the inception of the business, this situation can easily be avoided.

Business law attorneys are also available to draft the internal agreements that will control how a new company is managed. A common example is an LLC operating agreement. This document should be drafted with care, as it governs how the company’s owners will share profits and losses, make important business decisions, and transfer their ownership rights. You really need to understand Business Fraud Lawyer in Kansas City.

Business Lawyers

Navigating Complex Transactions in Kansas City, MO

Some commercial transactions are within the ability of business owners to handle on their own. Others are not, especially when a deal touches on complicated and evolving areas of the law, such as securities regulation or internet commerce. In heavily-regulated industries in particular, companies rely on their in-house or hired lawyers for advice regarding the latest legal developments affecting their businesses.

Even for savvy business people, problems can develop when emotions become involved. Attorneys can provide valuable insight into a transaction, not only because of their legal training, but also because of the objective nature of their analysis. This allows them to spot issues overlooked by business owners and managers who may be too emotionally invested in seeing the deal go through.

Preemptive Measures to Avoid Litigation in Missouri

One way to distinguish business law as its own field of practice is to take note of when these issues arise. Business law provides rules and guidance for companies to follow before disputes occur. Attorneys who practice in this area are experts at structuring transactions to minimize the company’s exposure to litigation. This sort of strategic legal maneuvering can end up saving the company huge amounts of money.

Consider the example of a services company headquartered in one state, with customers all across the nation. The company might hire a lawyer to draft customer agreements that require customers to follow specific dispute procedures, such as giving the company an opportunity to remedy deficient services before a legal claim is made, or providing that disputes must be submitted to arbitration in the company’s home state. In every industry, there are opportunities for business attorneys to save their clients money and provide them with a greater competitive advantage. It’s great to know Business Fraud Lawyer in Missouri.

Corporate Lawyers

Hiring Legal Counsel in Kansas City, Missouri

Call us today at (913) 225-8215 to get the best business counsel around.

If you operate an existing business or plan to launch a new one in Kansas City, your success may depend on obtaining the right legal advice. Attorneys are available to assist with everything from simple buy/sell agreements to mergers and acquisitions of publicly-traded companies. Schedule a consultation with a business law firm today.

Understanding the Differences Between Corporations, LLC’s, and Partnerships in Kansas City

Call us today at (913) 225-8215 to get the best business counsel around.

Ownership in Missouri

In a corporation, the owners are called “shareholders.” The owners of an LLC are called “members.” An LLC has complete freedom to distribute its ownership stake to its members without any regard to a member’s capital contribution to an LLC. This becomes important when profits are distributed to each member. Although a certain member may not have invested as much as another member, an LLC’s operating agreement may specify that all members receive an equal share of the profits.

A Missouri corporation can theoretically do the same by creating a unique stock class structure, but this is limited to C-corps. Unfortunately, a business that wants to be identified as an S-corp to avoid double taxation cannot create a unique stock class structure. As a pre-requisite, an S-corp must have a single class of stocks with its dividends distributed in proportion to a shareholders capital investment. Thus, in order for a corporation to create a unique stock class structure, it must be subject to the double taxation.

The owners of a partnership are, not surprisingly, called “partners.” There is no requirement for a formal written agreement in most jurisdictions when creating a partnership, and the partners of a partnership own all of their company’s assets and liabilities personally in proportion to their ownership interest in the company.


Call us today at (913) 225-8215 to get the best business counsel around.

Taxation in Missouri

We have already touched on this a little, but there are complicated and variable rules regarding taxation among the various business entities. Corporation profits are not subject to Social Security and Medicare taxes. Like a sole proprietorship or a partnership, the salaries and profits of an LLC are subject to self-employment taxes unless the LLC opts to be taxed as a corporation. With a corporation, only salaries (not profits) are subject to such taxes.

An LLC has complete flexibility on how it wants to be taxed whereas a corporation may not. A major disadvantage to the corporate designation (at least for C-corps) is its double taxation implications. A corporation’s profit is taxed once (corporate tax), and the dividends its shareholders receive is then taxed again (individual tax). The S-corporation designation does allow flow-through taxation (no corporate tax), but there are certain requirements to qualify as an S-corp that may limit its application for some businesses, particularly those that want to sell shares to raise capital. Depending on the circumstances of a corporation, it may have no choice but to be a C-corp and face double taxation.

An LLC in Missouri, on the other hand, no matter its structure or organization, can choose how it wants to be taxed. By default, an LLC is treated as a “pass-through” entity (single taxation), but can elect to be taxed as a C-corp or an S-corp (if it qualifies). If a business qualifies as an S-corp, the tax difference between an LLC and S-corp are a bit more nuanced. Both an LLC and an S-corp has flow through taxation (no double taxation). However, an LLC’s distribution of profits is subject to an employment tax, whereas an S-corp’s dividends are not. With careful planning, a small business can avoid significant employment taxes by electing to become an S-corp. There are a few other reasons (like much more paperwork) that may deter a small business from taking this advantage, but you should consult with either an attorney or an accountant experienced with corporate set-up before making a decision on whether to be taxed as an LLC or S-corp.

Partnerships and sole proprietorships in Missouri, on the other hand, are taxed directly on the partners’ respective incomes. Because all assets and liabilities are considered to be those of the owners themselves, any gains or losses made by the company are taxed directly to the partners in proportion to their ownership interest in the company. There are also fewer deductible business expenses available to partnerships. But, because the taxes are done directly from the partners’ own incomes, there is very little additional paperwork.

Business Law

Kansas City Operations

While corporations must hold regular meetings of the board of directors and shareholders and keep written corporate minutes, members and managers of an LLC need not hold regular meetings, which reduces complications and paperwork. S corporations cannot have more than 100 shareholders. Each shareholder must be an individual who is a U.S. resident or citizen. Also, it is difficult to place shares of an S corporation into a living trust. These restrictions do not apply to LLCs (or C corporations).

Members who are active participants in an LLC’s business can deduct operating losses against their regular income to the extent permitted by law. While S corporation shareholders can also deduct operating losses, C corporation shareholders cannot.

Corporations in Kansas City can offer a greater variety of fringe benefit plans than any other business entity. Various retirement, stock option, and employee stock purchase plans are available only for corporations. While sole proprietors, partners, and employees owning more than 2% of an S corporation must pay taxes on fringe benefits (such as group-term life insurance, medical reimbursement plans, medical insurance premiums and parking), shareholder-employees of a C corporation do not have to pay taxes on these benefits.

Partnerships have the least restriction because they have the least advantages. Partnerships need not have meetings, special paperwork, and are not bound by limitations on ownership.

Business Fraud Lawyer

Conclusion

Corporations, LLC’s, and partnerships in Kansas City all have unique advantages and disadvantages, and any of them may be a great idea for forming your business depending on your unique situation and legal requirements. Of course, your best bet is to consult with an attorney or accountant who is experienced in setting up different business entities to give you clear guidance on which structure will be best for your particular situation and tax needs.

Call us today at (913) 225-8215 to get the best business counsel around. Starting a Business Much of company law addresses the various types of business organizations. What papers do I need to submit in order to begin this company? These questions fall under the laws that govern company entities, which are state laws. Next, exactly what will my business be called? Let's say I choose Shear Insanity as a name for my hair salon. Now I need to understand if anyone else already has that name. This is a trademark question. Patents, copyrights and hallmarks belong to intellectual property law. The federal law governs most copyright law. I need to understand if I'll require any unique type of license for this company. Do barbers require a license? Do I require a special city license or other license? How will I market my company? Am I enabled to say that I'm the 'finest in town?' I'll need to inspect my regional and state laws to discover. There are many laws that concern managing a business because there are numerous aspects involved in handling. As you can currently see, running a company will involve a lot of work law and contract law. Call us today at (913) 225-8215 to get the best business counsel around.

Attorneys Lawyers Law in Kansas City, MO

Kansas City Attorneys Lawyers Law

Call us today at (913) 225-8215 to get the best business counsel around. Business law is a broad area of law. It covers various kinds of laws and various topics. This article briefly explains normally exactly what corporate law is and how it is made use of. Meaning of Corporate Law Corporate law includes all the laws that dictate ways to form and run a company. This includes all of the laws that govern ways to begin, buy, close and manage or offer any kind of business. Company laws develop the guidelines that companies must follow. When to seek the suggestions of a licensed attorney, a savvy businessperson will be usually familiar with company laws and understand. Business law consists of state and federal laws, along with management regulations. Let's take a look at a few of the locations included under the umbrella of business law.

Business Attorneys

Call us today at (913) 225-8215 to get the best business counsel around.

Here is a great article from hg.org which you can find at http://www.hg.org/corp.html

What is Business Law in Kansas City?

Business law in Kansas City, MO deals with the creation of new businesses and the issues that arise as existing businesses interact with the public, other companies, and the government. This area of the law draws on a variety of legal disciplines, including tax law, intellectual property, real estate, sales, employment law, bankruptcy, and others. Business law attorneys specialize in transactional work, meaning they do not represent clients in court. In fact, business lawyers are often hired for the purpose of avoiding future litigation.

To understand the role of business law within the legal system, it helps to view businesses as entities separate from their owners and employees. Just like individuals living together in society, business entities are subject to legal rules designed to give every participant in the marketplace a fair opportunity to succeed.

An enforceable system of business laws also benefits the economy as a whole and provides for more efficient transactions. For example, a supplier who sells goods on credit can be confident that the buyer will held to the agreed payment terms. As long as the contract is drafted and executed in accordance with the Uniform Commercial Code (UCC) adopted in that jurisdiction, the supplier knows ahead of time it will be able to enforce the contract against the buyer if necessary.

Business Formation and Internal Agreements in Missouri

New companies must take steps to comply with the law even before opening their doors for the first time. Business law attorneys are routinely asked to form new entities on behalf of their clients by filing the necessary documents with the Secretary of State. Clients may also need assistance choosing the business entity best suited for their enterprise.

Businesses can be formed as corporations, limited liability companies (LLCs), partnerships, and other entities. Most of these business forms can be further customized to meet the needs of the company. Examples include corporations formed as “S-corps” in order to achieve tax savings, and partnerships formed as “limited partnerships” to allow some owners to participate as investors only.

While the selection of the appropriate business entity will depend on numerous factors, the primary purpose of most entities is to shield owners from individual liability. Operating a business that is not set up to provide limited liability means that the owners are putting all of their personal assets within reach of the business’s creditors. By working with an attorney at the inception of the business, this situation can easily be avoided.

Business law attorneys are also available to draft the internal agreements that will control how a new company is managed. A common example is an LLC operating agreement. This document should be drafted with care, as it governs how the company’s owners will share profits and losses, make important business decisions, and transfer their ownership rights. You really need to understand Attorneys Lawyers Law in Kansas City.

Business Lawyers

Navigating Complex Transactions in Kansas City, MO

Some commercial transactions are within the ability of business owners to handle on their own. Others are not, especially when a deal touches on complicated and evolving areas of the law, such as securities regulation or internet commerce. In heavily-regulated industries in particular, companies rely on their in-house or hired lawyers for advice regarding the latest legal developments affecting their businesses.

Even for savvy business people, problems can develop when emotions become involved. Attorneys can provide valuable insight into a transaction, not only because of their legal training, but also because of the objective nature of their analysis. This allows them to spot issues overlooked by business owners and managers who may be too emotionally invested in seeing the deal go through.

Preemptive Measures to Avoid Litigation in Missouri

One way to distinguish business law as its own field of practice is to take note of when these issues arise. Business law provides rules and guidance for companies to follow before disputes occur. Attorneys who practice in this area are experts at structuring transactions to minimize the company’s exposure to litigation. This sort of strategic legal maneuvering can end up saving the company huge amounts of money.

Consider the example of a services company headquartered in one state, with customers all across the nation. The company might hire a lawyer to draft customer agreements that require customers to follow specific dispute procedures, such as giving the company an opportunity to remedy deficient services before a legal claim is made, or providing that disputes must be submitted to arbitration in the company’s home state. In every industry, there are opportunities for business attorneys to save their clients money and provide them with a greater competitive advantage. It’s great to know Attorneys Lawyers Law in Missouri.

Corporate Lawyers

Hiring Legal Counsel in Kansas City, Missouri

Call us today at (913) 225-8215 to get the best business counsel around.

If you operate an existing business or plan to launch a new one in Kansas City, your success may depend on obtaining the right legal advice. Attorneys are available to assist with everything from simple buy/sell agreements to mergers and acquisitions of publicly-traded companies. Schedule a consultation with a business law firm today.

Understanding the Differences Between Corporations, LLC’s, and Partnerships in Kansas City

Call us today at (913) 225-8215 to get the best business counsel around.

Ownership in Missouri

In a corporation, the owners are called “shareholders.” The owners of an LLC are called “members.” An LLC has complete freedom to distribute its ownership stake to its members without any regard to a member’s capital contribution to an LLC. This becomes important when profits are distributed to each member. Although a certain member may not have invested as much as another member, an LLC’s operating agreement may specify that all members receive an equal share of the profits.

A Missouri corporation can theoretically do the same by creating a unique stock class structure, but this is limited to C-corps. Unfortunately, a business that wants to be identified as an S-corp to avoid double taxation cannot create a unique stock class structure. As a pre-requisite, an S-corp must have a single class of stocks with its dividends distributed in proportion to a shareholders capital investment. Thus, in order for a corporation to create a unique stock class structure, it must be subject to the double taxation.

The owners of a partnership are, not surprisingly, called “partners.” There is no requirement for a formal written agreement in most jurisdictions when creating a partnership, and the partners of a partnership own all of their company’s assets and liabilities personally in proportion to their ownership interest in the company.


Call us today at (913) 225-8215 to get the best business counsel around.

Taxation in Missouri

We have already touched on this a little, but there are complicated and variable rules regarding taxation among the various business entities. Corporation profits are not subject to Social Security and Medicare taxes. Like a sole proprietorship or a partnership, the salaries and profits of an LLC are subject to self-employment taxes unless the LLC opts to be taxed as a corporation. With a corporation, only salaries (not profits) are subject to such taxes.

An LLC has complete flexibility on how it wants to be taxed whereas a corporation may not. A major disadvantage to the corporate designation (at least for C-corps) is its double taxation implications. A corporation’s profit is taxed once (corporate tax), and the dividends its shareholders receive is then taxed again (individual tax). The S-corporation designation does allow flow-through taxation (no corporate tax), but there are certain requirements to qualify as an S-corp that may limit its application for some businesses, particularly those that want to sell shares to raise capital. Depending on the circumstances of a corporation, it may have no choice but to be a C-corp and face double taxation.

An LLC in Missouri, on the other hand, no matter its structure or organization, can choose how it wants to be taxed. By default, an LLC is treated as a “pass-through” entity (single taxation), but can elect to be taxed as a C-corp or an S-corp (if it qualifies). If a business qualifies as an S-corp, the tax difference between an LLC and S-corp are a bit more nuanced. Both an LLC and an S-corp has flow through taxation (no double taxation). However, an LLC’s distribution of profits is subject to an employment tax, whereas an S-corp’s dividends are not. With careful planning, a small business can avoid significant employment taxes by electing to become an S-corp. There are a few other reasons (like much more paperwork) that may deter a small business from taking this advantage, but you should consult with either an attorney or an accountant experienced with corporate set-up before making a decision on whether to be taxed as an LLC or S-corp.

Partnerships and sole proprietorships in Missouri, on the other hand, are taxed directly on the partners’ respective incomes. Because all assets and liabilities are considered to be those of the owners themselves, any gains or losses made by the company are taxed directly to the partners in proportion to their ownership interest in the company. There are also fewer deductible business expenses available to partnerships. But, because the taxes are done directly from the partners’ own incomes, there is very little additional paperwork.

Business Law

Kansas City Operations

While corporations must hold regular meetings of the board of directors and shareholders and keep written corporate minutes, members and managers of an LLC need not hold regular meetings, which reduces complications and paperwork. S corporations cannot have more than 100 shareholders. Each shareholder must be an individual who is a U.S. resident or citizen. Also, it is difficult to place shares of an S corporation into a living trust. These restrictions do not apply to LLCs (or C corporations).

Members who are active participants in an LLC’s business can deduct operating losses against their regular income to the extent permitted by law. While S corporation shareholders can also deduct operating losses, C corporation shareholders cannot.

Corporations in Kansas City can offer a greater variety of fringe benefit plans than any other business entity. Various retirement, stock option, and employee stock purchase plans are available only for corporations. While sole proprietors, partners, and employees owning more than 2% of an S corporation must pay taxes on fringe benefits (such as group-term life insurance, medical reimbursement plans, medical insurance premiums and parking), shareholder-employees of a C corporation do not have to pay taxes on these benefits.

Partnerships have the least restriction because they have the least advantages. Partnerships need not have meetings, special paperwork, and are not bound by limitations on ownership.

Attorneys Lawyers Law

Conclusion

Corporations, LLC’s, and partnerships in Kansas City all have unique advantages and disadvantages, and any of them may be a great idea for forming your business depending on your unique situation and legal requirements. Of course, your best bet is to consult with an attorney or accountant who is experienced in setting up different business entities to give you clear guidance on which structure will be best for your particular situation and tax needs.

Call us today at (913) 225-8215 to get the best business counsel around. Starting a Business Much of business law addresses the various kinds of enterprise. There are laws relating to the best ways to properly run each type and form. This consists of laws about entities such as corporations, collaborations and limited liability business. For instance, let's say I decide to start my own hair salon. I have to choose what kind of business I want to be. Will this be a partnership? Will it be a sole proprietorship? What documents do I need to file in order to begin this business? These questions fall under the laws that govern business entities, which are state laws. The type of entity I select will certainly also influence how I pay my federal income taxes. These, of course, are federal laws. Next, exactly what will my business be called? Let's say I select Shear Insanity as a name for my beauty parlor. If any individual else currently has that name, now I need to know. This is a hallmark concern. Patents, copyrights and trademarks are part of copyright law. The federal law governs most copyright law. Then I have to know if I'll need any special type of license for this business. Do barbers need a license? Do I need a special city license or other authorization? How will I promote my company? Am I allowed to state that I'm the 'best in the area?' I'll need to examine my local and state laws to discover. There are many laws that concern handling a company since there are numerous aspects included in managing. As you can already see, running a company will certainly involve a lot of employment law and contract law. Call us today at (913) 225-8215 to get the best business counsel around.