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sry for the offtopic, but I'd suggest starting with a SP, since it is easier to manage, and some expenses are not so great on it. To get a clearer view get a sheet of paper, split it in two
and get LLC on the one side, SP on the other. Make a list of the pros and cons of the two legal forms. Most times it is better to start off as a SP and later switch to LLC. Don't worry about your property - you can always "freez" you SP if it get's on the wrong way. Good Luck.
How much does it cost to set up an LLC in Virginia. Good question.
and it is nice to know you are going to SCORE. SCORE is FREE.
To set up an LLC could be FREE if you do it yourself.
All you have to do is go on line to IRS.gov and fill in the forms.
You will also get a Federal ID Number at NO cost.
Everybody in business should have an Accountant, a Lawyer
and maybe an Insurance Agent.
Good luck, LUCKIEST
The filing fee is $100 if you do it yourself. Anything that anyone is charging above that is for their related products and services (like giving you a template for the Articles of Organization you have to file, serving as your registered agent, etc.). It's up to you to decide if their tools and guidance is worth it.
As yMladenov indicated, a sole proprietorship is not that bad an option when you're just launching a new business with only yourself involved -- it's fast, cheap, and easy to manage. Yes, you have the advantage of "limited liability" with an LLC, but since your new LLC won't have any credit history, you'll have to give your personal guarantee anyway to borrow money, get a business credit card, or enter into any kind of substantial contracts. If anything happened that caused it to be sued early on, the circumstances would probably be the direct result of an action you took or didn't take -- so the plaintiff would likely sue you personally, as well as the company. In other words, the advantages of an LLC are real, but not always that important to a brand new one person operation. You can always reorganize when an LLC or other business structure becomes clearly advantageous.
Hope this helps. Best wishes.
I'm going to setup an LLC to start instead of setting up a Sole Proprietorship because I will eventually switch to an LLC anyways. I'm going to deal with large retailers as soon as I get started. I already got offered a deal with a retailer with 20+ stores so I want to be as professional as possible. On the LLC form I have it says I need a registered agent. How much does a registered agent usually cost? Can any lawyer act as a registered agent? Or do they have to strictly deal with business law stuff? Because I have a cousin that's a lawyer but she's a public defender.
According to your state commission . . .
"Any individual who so consents can be appointed the registered agent of a Virginia business entity if, and only if:
- The person is a resident of Virginia; and
- The person is a member of the Virginia State Bar, or is a part of the management of the business entity (e.g. an officer or director of a corporation, a member or manager of a limited liability company, a general partner of a limited partnership, etc.). A Virginia business entity that is authorized to transact business in Virginia may serve as the registered agent of another business entity, but it may not serve as its own registered agent."
You can expect to pay around $125 a year for the service.
I know that the domestic filling fee is $25.00. There may be another additional cost. I do business as an INC. in VA but I am fillied out- of - state. I hope this helps. I have a CPA on staff that's knows VA laws. If you need help feel free to call!
Best of Success!
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Hello everyone I'm a newbie here and am in the process of setting up a music programming business. I've been going to SCORE and various free small business help centers and I'm getting different information about the cost and process of setting up an LLC. The first one I went to told me $1000 and I need to get a lawyer to look it over. The other told me $500-600 and maybe I should just start off as a sole proprietor. The last one told me only $100. I've decided to be an LLC to protect my personal assets in case anything happens to the business. But some people make it seem like a hard tedious process and others make it seem so easy. I'd like to know what everybody here has done and what it cost to set up an LLC.