Is Your LLC Legit? 09-03-2010

You are likely reading this article because you have created an LLC or have considered creating one. An LLC, or Limited Liability Company, can be utilized for a vast number of purposes, but is most often formed to run a professional business or to secure a piece of real property.

In a world of do-it-yourself forms and low cost document services, an increasing number of individuals are creating these documents without proper legal counsel. What many do not realize is that the owner of the LLC must be able to prove that the LLC is correctly organized, operated and documented as a separate legal entity under the law. In an attempt to cut costs, the owner of the LLC may not have the very asset protection the documents were created to provide.

If you have an existing LLC, which was not created by Morris Hall, there are a number of questions you will need to address. Below are a few of them:

Have Articles of Organization been filed with the Arizona Corporation Commission and published in the appropriate county?

Has the Affidavit of Publication been filed with the Arizona Corporation Commission?

Are the Arizona Corporation Commission records current and in good standing?

Does the LLC contain an Operating Agreement?

Has the LLC been assigned an Employer Identification Number (EIN) from the IRS?

Has a separate bank account for the LLC been set up?

Does the LLC own multiple assets (i.e. more than one piece of real property)?

These are just a portion of the many questions that need to be addressed to ensure that your LLC is created appropriately and will provide the protections it was intended for. If there is any uncertainty about whether your LLC is structurally sound, contact MH for a free review of your documents.

Morris Hall has focused their practice on estate planning for forty years, and has helped thousands of individuals and families to protect their assets and their businesses. MH is intently focused on advanced estate planning matters and has the expertise to identify and correct any shortcomings your current LLC may have. Call today at 888.222.1328 to ensure your documents are secure and will provide you with all the protections you need.

Contact us for more information or to schedule a free consultation.