Business Organization Law

At Froerer and Miles, our typical business organization set up pricing is very competitive, which includes the filing fee with the Department of Commerce, the Articles of Incorporation or Certificate of Organization, the Bylaws or Operating Agreement, and the Organizational Minutes. 

However, for a more precise cost, we offer a free consultation with one of our lawyers to go over your business plans. In addition to getting a firm price, a meeting allows you the opportunity to get to know us first before making any commitments. 

(801) 621-2690

One of the first decisions you'll face after deciding to start a business is choosing the right type of "business organization." The business organization is the legal framework for your business and it has far-reaching ramifications.  

The structure of your company determines your personal liability, tax exposure, and options for growing your business.  The experienced lawyers at Froerer & Miles in Ogden, UT, work closely with you to understand both your business and your future goals in order to select the optimum framework for success under Utah law. 

Common questions in deciding what type of business operation is a good fit include:

• Will you operate the business yourself or have partners?
• How much personal liability are you comfortable with?
• How much flexibility do you want in the organization of your business?
• How comfortable are you with paperwork, regulations, and complex tax laws? 

The limited liability company (LLC) is a popular business structure for small businesses in large part because they are easy to form and flexible. It balances many of our clients' needs for tax benefits and liability protection and is among the most common business entities in Utah and across the United States. 

An LLC can be a good choice for medium- or higher-risk businesses, for owners with significant personal assets needing to be protected, or for owners wanting to pay a lower tax rate than they would as a corporation.

Closely related to the limited liability company is the professional limited liability company (PLLC), which is either a corporation or a limited liability company for professional services. This business entity is often used by physicians, public accountants, and veterinarians, to name a few.

Both LLC and PLLCs are more flexible than other corporate structures and offer key benefits that make them a good option for small business owners. Other legal entities to consider include:

• Sole Proprietorships
• Partnerships
• C- and S- Corporations
• Non-profit Corporations

By understanding your business goals, the business attorneys at Froerer & Miles in Ogden, UT, can guide you in selecting a business structure that will help propel your business forward while avoiding cumbersome requirements that tie you down.  

Our business attorneys understand the finer points of selecting business structures. In addition to LLCs and PLLCs, we have experience creating sole proprietorships, partnerships, and S-Corporations and C-Corporations.

To better understand the pros and cons of each, request a free consultation with one of our lawyers and learn more about forming a business in Utah while also spending some time getting to know us.

Partnerships are businesses owned and operated by two or more people who agree to share responsibilities and profits. Partnerships can be either general partnerships or limited liability partnerships.

• In a general partnership, partners share management, responsibilities, financial and legal liabilities, and profits.
• In a limited liability partnership, owners can either be a general partner that owns and operates the business while assuming liability for debts and liabilities. Or they can be a limited partner, who has no control and assumes none of the liability, essentially acting as an investor.

A corporation is a form of business organization that separates the business from the owners. In a corporate structure, the company has the power to do most of the things a person would do, such as hire employees, trade goods, and enter into contracts.

• C- and S- corporations offer limited liability protection so that owners are not personally responsible for business debts and liabilities. They have shareholders, directors, and officers. They also follow corporate formalities and obligations, such as adopting bylaws, holding meetings, and filing annual reports. 
• For small businesses weighing the pros and cons of C- and S-corporate structures, the choice usually comes down to how they want to be taxed. C-corporations are taxed at the corporate level with the income distributed to owners taxed again at the individual level. S-corporations are pass-through taxation entities with profits and losses reported on the owners' personal tax returns.