• Why Choose Us

    Small firm service with big firm expertise. We are a general practice law firm where you work with an attorney who concentrates in one area of practice. 
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  • Personal Injury

    As personal Injury attorneys we work to get you fair compensation for your injuries. We care about you and your family and want to help make things right for you. 
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  • Business Law

    Helping your business grow and remain strong. We are business attorneys that provide you with focused legal advice you can depend on. 
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  • Family Law / Divorce

    Helping your family with divorce, estate planning an other family events. We are family law attorneys that provide you with focused legal advice you can depend on. 
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  • Probate

    You can help your family handle your estate by planning ahead. We are probate attorneys that provide you with focused legal advice you and your family can depend on. 
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  • Real Estate

    Are you buying or selling real estate with or without the assistance of a real estate agent? We are real estate attorneys experienced in protecting your interests in real estate transactions. 
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  • Estate Planning

    A good estate plan allows you to retain control of your of your assets in your later years. We are estate planning attorneys experienced in helping you maintain control of your assets. 
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Kraft Walser Law Office News / Events

This news feed will contain information about various law topics and how it may apply to you. We will also be posting news and event information about The Kraft Walser Law Office.

Organizing Your Business

How do you organize your business as a legal entity?Starting a business can be an exciting adventure. 

Which form of business is best for you?  The choices are: sole proprietorship, general partnership, limited liability company (LLC), or a corporation.  You will want to consider:

  • Personal liability protection
  • How profits are taxed
  • The opportunity to take advantage of fringe benefits
  • Ease in raising capital

Sole proprietorships and general partnerships are simple and inexpensive.  However, owners may be personally liable for the debts of these businesses.

Forming a corporation or an LLC is more complicated and costly, but it is often worth it.  These organizations limit the owners’ personal liability for business debts, and they may be able to provide tax deductible employee benefits to owners and employees.  LLCs are more flexible in allocating profits and management duties than corporations, and setting them up is less complicated.

Taxes are another consideration.  In most businesses, profits are taxed only once.  However, if you choose a C-Corporation, your profits could be taxed once as income to the corporation and a second time as dividends to the shareholders.

Your initial choice of a business form does not have to be permanent. You can start out as one type and convert to another as your business grows and changes.

To create an LLC or corporation, documents, called Articles, are filed with the Secretary of State.  Only basic information is included, such as the name, principal office address, agent, and names of initial members.  Your attorney can prepare and file the documents.

An LLC should have a written operating agreement covering things like:

  • Do members vote according to their percentage interests, or does each have one vote?
  • Are owners expected to make additional capital contributions if needed?
  • How much should owners be paid when they leave the business?
  • May an owner sell an interest to an outsider?

Once your business is registered with the Secretary of State, you will need Federal and State identification numbers if there is more than one owner.  You may need state or local licenses and permits as well.  If you will have employees, you will need worker’s compensation and unemployment insurance.  A retail sales business will need a sales and use tax permit.

Have professional guidance and experience on your side.

At KRAFT WALSER LAW OFFICE, PLLP, we can advise you on which business form best fits your needs.  We will guide you through the creation or restructuring of your business and make sure you have met all of the legal requirements.

Call Kraft Walser Law Office and let us get started working for you.
Olivia 320-523-1322 | Hutchinson 320-587-8150 | Stewartville 507-533-0325 | Cokato 320-286-2396 | Renville 320-523-1322

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