THE LAW OFFICES OF

For Consultation Call 909.395.0909

204 N. San Antonio Ave.

Ontario, CA 91762

Phone: 909-395-0909

Fax: 909-395-9535

Email: TPLaw@aol.com

DISCLAIMER: The information you obtain at this site is not, nor is it intended to be, legal advice. You should consult an attorney for advice regarding your individual situation. We invite you to contact us and welcome your calls, letters and electronic mail. Contacting us does not create an attorney-client relationship. Please do not send any confidential information to us until such time as an attorney-client relationship has been established. Prior results do not guarantee a similar outcome. The Attorneys at The Law Offices of Robert J. Spitz are licensed to practice law in the State of California.

Our Office Remains Open During the Covid-19 Impact.

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of America Award

Ontario Business Formation  Lawyer

Ontario Business  Formation Attorney

Ontario Business Formation Lawyer

Ontario Business Formation Lawyer Robert J. Spitz has 41 years experience providing courteous, experienced legal advice and representation to established business owners and new entrepreneurs in Ontario, California and throughout the Inland Empire.

A dedicated sole practitioner, Ontario Business Formation Attorney Robert Spitz will personally handle all aspects of your case – you will never be passed off to an associate. Contact The Law Office of Robert J. Spitz at (909) 395-0909 to schedule a consultation with one of the Inland Empire’s most respected and experienced business attorneys. Certain business matters are taken on a contingency fee basis.

If you are contemplating starting a new business, it is critical that you retain an experienced, knowledgeable business attorney who can guide you through the business formation process. Ontario Business Formation Attorney Robert Spitz will meet with you to discuss your business objectives and review the advantages and disadvantages associated with each type of business entity.

The Law Office of Robert Spitz helps clients with the following types of Business Formations:

 Sole Proprietorship

 Partnerships

 Corporations

 Limited Liability Companies

Whether you’re interested in starting up a sole proprietorship, a partnership, a limited liability company or a corporation, Ontario Business Formation Lawyer Robert J. Spitz can help you protect your assets and ensure that you choose the business structure that is right for you.

Upon determining your proper business structure, Business Formation Attorney Robert Spitz will provide the following services where applicable:

 Assist with Private Offerings

 Draft Articles of Incorporation

 Draft Business Formation Documents

 Draft Employment Contracts

 File Paperwork with the Proper Local Agency or California’s Secretary of State

Ontario Business Attorney Robert J. Spitz takes a proactive and practical approach. He will carefully review all of the details of your legal situation, identify potential problems and propose effective solutions to help you resolve your legal matter as efficiently as possible.

For representation in a Business or Real Estate matter, please complete our Case Evaluation Form and Ontario Real Estate Attorney and Business Lawyer Robert Spitz will contact you.

FAQ

What is the Purpose of a Corporation?

A corporation is a company or a group of individuals who are authorized to act as a single entity that is legally recognized as separate and distinct from its owners. The law gives corporations many of the same rights and obligations as it gives people. For example, corporations can pursue litigation, be the object of a lawsuit, lend or borrow money, own assets, pay taxes, hire employees, and enter into contracts.

Creating a corporation increases the protection of personal liability as well as that of business continuity and security. For example, if an owner passes away or decides to sell their interest in the company, the corporation will continue to exist and function. Additionally, a company that is a corporation can more easily raise capital and take advantage of certain tax benefits. Corporate profits are not subject to workers compensation, social security, or Medicare taxes.

The purpose of establishing a corporation can include delivering value to the company’s stakeholders, pursuing business strategies that promote sustainable profitability, and finding profitable solutions for problems that are facing society.

What are the Pros and Cons of a Sole Proprietorship?

The type of business structure you choose for a new company impacts finances, legal obligations/risks, and more. If you are considering forming a sole proprietorship, take the time to understand the benefits and disadvantages that can help you make good decisions.

Advantages of sole proprietorship

• Less paperwork

• Simpler ownership, taxes, and banking

• Fewer registration requirements & fees

• Owner has full control and can make decisions more quickly

• More efficient operations are possible

• May offer a more independent lifestyle

• Direct relationships with Customers and Employees

Disadvantages of sole proprietorship

• Lack of personal liability protection against losses and lawsuits

• More difficult to secure funding and business credit

• Selling the business is tougher

• All management decisions fall to one person who may not have all needed skills

• Disruptions (EX: illness/death of owner) are more likely to seriously hamper or end the business

• May be harder to attract talented personnel to a smaller operation

What are the Different Types of Corporations?

C corporations are the default corporation that is automatically assigned when a company incorporates. If you would like your company to be an S corporation, additional forms are required. Besides this difference in formation, the other two main differences between C corporations and S corporations are in the areas of taxation and ownership:

C corporations pay corporate income tax, and its shareholders will also report their business income on their personal taxes. However, there are no restrictions on who may own a C corporation. Anyone and any number of people can co-own a C corporation.

S corporations have something called pass-through taxation, which means there are no corporate taxes. Rather, the only taxes that happen with an S corporation are when the shareholders pay their personal income taxes. S corporations are subject to some restrictions regarding ownership. A maximum of 100 shareholders are allowed, and they must be U.S. citizens.

Are there any Disadvantages of Incorporating?

There are some circumstances in which incorporating could outweigh the benefits. An experienced business formation attorney can help you make an informed decision by reviewing the potential drawbacks: The paperwork involved in forming a corporation is more extensive than for any other type of business. Ownership and other details of the company must be documented. This may include corporate bylaws, appointing a board of directors, shareholders ownership change agreements, stock certificates, and meeting minutes. In addition, specific steps must be taken when it is time to dissolve the corporation or allow it to become inactive.

Filing costs and other ongoing fees contribute to the greater financial and time costs of setting up and operating a corporation. Corporate income is taxed at the entity level, and shareholders and owners are also taxed on their income. One way to eliminate the corporate tax could be to file as an S corporation instead, but specific legal requirements must be met on an ongoing basis to maintain this tax benefit. Because corporate ownership is separate from corporate control, the potential for disagreements is greater.

For immediate legal assistance, call Ontario Business Attorney Robert Spitz at (909) 395-0909.