Costs of Creating a Limited Liability Corporation

Limited Liability Corporations are a non-corporate form of business in which the owners actively take part in the management. They are protected against personal liability in case of organizational debts and obligations.

Individual state law governs the creation of any LLC. Members are required to file documents with the Secretary of State. Many states require the filing of articles of organization. The LLC usually starts functioning on the same day that the articles of organization are filed. A filing fee is paid to the Secretary of State. Members have to be careful regarding the various costs that are incurred during the formation and registration of the LLC, to avoid paying repetitive costs and/or fees.

These costs include the agent’s fee, if any, and the initial incorporation fee. Every time a new member is registered, a fee has to be paid. There are many companies that help people with the process of formation of the LLC. Those who opt to create these companies have to pay for a certified copy of incorporation articles, corporate record book, senior and junior executive service, phone service and mail forwarding. In addition to these, other costs include bank account assistance, supporting office inquiry services and rush services.

The minimum amount of information required for articles of organization may vary from state to state. Usually, it states the name of the LLC and the person organizing the LLC. The duration of the LLC and the registered agent’s name is also included. Some states require extra information, such as the business purpose and particulars about the LLC membership and management construction.

To legally complete the formation of the LLC, members have to enter into an Operating Agreement. This Operating Agreement may come into existence before or after filing of the Articles of Organization. It may be in writing or oral.

Ham Radio Operation – Fun Hobby For Radio Control Enthusiasts

Amateur Radio or Ham radio is a hobby that radio control enthusiasts enjoy. It is a hobby and a service that uses radio communication equipment to communicate with other ham radio operators. Ham radio operation is a hobby that requires a license to operate. The first step to indulge in the hobby is to get a good ham radio device. It is better to take the advice and guidance of a person having the knowledge of ham radios whenever you wish to purchase the device. You should also be aware of the technical details and the local laws prevalent in respect of ham operations.

If you want to pursue ham radio operation as a hobby, you first need to get to know all about it. The Internet is a good source of information and will provide you with whatever you want to know. Other sources of information is reading through the books available on the subject or talking to other ham operators who can provide you with the insights on the subject. However, if you have no idea at all about ham operation but find yourself fascinated by it, then you need to learn about some of the technical jargon. Just a fascination or a wish cannot sustain a hobby. If you are indeed serious about ham radio operation as a hobby, you have to spend the time and effort to get to know about it and work towards your goal.

Ham operation is sometimes tiring, in spite of the modern equipment and it may be quite taxing to find communications from other radio operators. However, you are rewarded for your efforts because you can interact with other people, communicate with them and if the occasion calls for, provide emergency or disaster communication to help your community.

The selection of the ham radio equipment will depend greatly on how seriously you take your hobby and how much you are willing to invest in it. Reasonably priced ham radio equipment is available at stores dealing with it. It is advisable to speak to other ham operators, also visit the stores, and physically check out the equipment before buying. Radio equipment that can connect with long distances will cost much more than those that have a less range. The advanced equipment like digital voice transmission will be much more expensive than the simpler Morse code wireless telegraph models.

The next hurdle for a ham radio operator is to obtain a license to operate. Morse code proficiency is no longer needed for the amateur radio operator license exam. It was excluded at the World Radio Communication Conference held at Geneva in 2003. However, the test includes the knowledge of ham etiquette and knowledge of international communication laws. Once you receive the license, you are free to operate your ham radio within the allotted bandwidth. You are also allowed to modify or change the equipment within the specified limits.

Form Your Own Limited Liability Company by Attorney Anthony Mancuso

The Limited Liability Company, or LLC, is a versatile business entity with many advantages for the small business owner. They can be used as holding companies or for profit businesses. There can be one member (owner) who also manages the LLC, or you can have managers without ownership interest. They are taxed like sole proprietorships and partnerships, but provide liability protection like a corporation. You can also elect to have an LLC taxed like a corporation if you desire. I helped many clients use LLCs for various purposes and believe it is a business entity that should be considered by entrepreneurs looking to start a new business, or for those that wish to convert a sole proprietorship or partnership to an entity that will provide liability protection.

For those that are not familiar with LLCs, “Form Your Own Limited Liability Company” by Attorney Anthony Mancuso does a very good job of introducing the LLC in the first couple of chapters. He answers the top ten questions about LLCs, explains the benefits, and compares LLCs to other business forms. He also provides some basic LLC legalities by describing the number of members, paperwork required to set up an LLC, responsibility for managing an LLC, and member and manager liability.

There is a short chapter on the tax aspects of forming an LLC. The chapter does a good job of explaining the basics and provides you with knowledge to discuss the topics further with your tax preparer.

The chapter on how to prepare LLC Articles of Organization does a good job. Usually, there are only a few basic items that need to be included in these Articles. One piece of advice the author gives is to check with your state’s procedures for filing articles, witch is very good advice. You must check with your state! In fact, many states have fill in the blank Articles that you can use. Personally, I usually drafted different articles, that were similar to the samples in this book. But people should check with their state’s Secretary of State to see what is required.

The chapters on preparing LLC Operating Agreements for the LLC are, in my opinion, the most important chapters of the book. Filing Articles is fairly simple, but an Operating Agreement takes a bit more. The author does a good job of pointing out what needs to be in an Operating Agreement and provides a good sample to get you started.

There’s some additional information that is good to know and that will help a person who is operating with an LLC. Things such as changing operating agreements, signing papers, filing annual reports, working with tax advisors and attorneys. Appendix A contains some very basic information regarding each state, but again, you really should check with your state, so the information in the Appendix isn’t needed that much.

The sample forms are located in tear-out form in Appendix B and they are also contained on an included CD. The forms are: IRS Form 8832, LLC Reservation of Name Letter, Articles of Organization, LLC Articles Filing Letter, Operating Agreement for Member-Managed Limited Liability Company, Limited Liability Company Management Operating Agreement, Minutes of Meeting, and a Certification of Authority.

Overall, this is a good basic book for someone who is looking to learn more about LLCs and how to form them. Again, the most important chapters are those that help with creating Operating Agreements. The samples on the CD can be used as the starting point to create your own. I’m a firm believer of educating yourself on aspects of your business, and Mancuso’s “Form Your Own Limited Liability Company” is a great place to start if you need education regarding LLCs. If you think this business entity is right for you, check out this book to help you get started.