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Why You Should Have Your Business Entity Registered with LLC in Georgia

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mathew philips
Dec 08, 2020 04:37
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 Starting a business requires an idea of a niche. Then you have to find out the starting capital and finally the market or the location which should be most suitable. However, by this level, you are not yet done. You have to register your business with a legal entity, and if in Georgia, with the Secretary of State. The best business legal entity you should embrace this year is Limited Legal Company, abbreviated as LLC.

  The main work of the LLC is to protect the business owner from lawsuits. The following are convincing reasons why you should have your Georgia Business Entity Search be registered with Limited Liability Company;

  • Liability limitation
  • Capital raising
  • Complexity

Liability Limitation

A few days ago, I was shocked by what seemed to be “thieves” who visited my neighbor’s home day time, probably 2pm. But uniquely they were in black official uniform written a name of an “unnamed bank” that gives loans to Georgian’s. SO, I came to learn that my neighbor was not able to pay his loans to the bank in time, and hence the bank sent its officials to take anything from the neighbor as long as when sold can pay back the loan.

Now suppose my neighbor had registered with LLC as a business, he could not have faced such a “day attack!” it could have covered him from being sued. A creditor can’t go and pick any LLC member’s asset directly.

Capital Raising

Have you ever tried a business partnership to raise capital? It must be a challenging task. What about sole- proprietorship? But now in Limited Legal Company, it is much easier to raise capital. The difference between LLC and the other two is that the others (sole proprietorship and partnership) can’t take in an investor without making him/her a member. This is possible in LLC.

Complexity

Limited Legal Company LLC entity is a three-tier body. The body is built by the shareholders, board of directors, and officers. A limited Legal Company is usually run by a selected body of managers. However, mostly it is run by its members. There is an annual meeting in the corporation where minutes are recorded and saved. Members have got no requirement in conducting and maintain minutes outside the corporation.

Conclusions

The Secretary of State Corporations Website is the source of information that you may require before registering with an LLC.  However, the information which has been provided by this article carries what the Secretary of State Corporations in Georgia will give on Limited Legal Company.

The benefits that clients are assured by the LLC are limited from liability whereby a creditor can’t access the individual’s assets directly. Again, with LLC, the probability of raising high capital is high compared to partnership and sole proprietorship. Finally, the body is not complex. Hence communication and running of the body are simple, clear, and transparent to all stakeholders.

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mathew philips
Dec 08, 2020 04:37
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