Author Topic: Use a lawyer to setup up an LLC?  (Read 2273 times)

woodnut

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Use a lawyer to setup up an LLC?
« on: May 14, 2016, 02:17:38 PM »
In preparation for semi-FIRE I'm planning to setup an LLC to do contract engineering work and maybe a side hustle.  I spoke with my attorney and he wants $2100 to do it.  Seems kind of steep for what appears to be involved.  Maybe I don't know what I don't know.  For others that have setup an LLC have you used a lawyer or did you do it on your own?
« Last Edit: May 14, 2016, 02:40:33 PM by woodnut »

LeRainDrop

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Re: Use a lawyer to setup up an LLC?
« Reply #1 on: May 14, 2016, 02:23:52 PM »
No personal experience, but I found this resource:  http://smallbusiness.costhelper.com/llc.html

PhysicianOnFIRE

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Re: Use a lawyer to setup up an LLC?
« Reply #2 on: May 14, 2016, 05:04:21 PM »
I set one up for my blog the other day. It took about an hour and a half to read up a little, apply for the LLC in my state, and obtain a federal tax ID online. All in, it was less than $150.

Go to your state's Secretary of State (or equivalent) website, and there should be information to get you started.

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PoF

Paul der Krake

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Re: Use a lawyer to setup up an LLC?
« Reply #3 on: May 14, 2016, 05:34:46 PM »
It's dead simple. If you can read English, answer basic questions and sign your name on the right line, you're good to go. Open a separate bank account, don't mingle funds.

woodnut

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Re: Use a lawyer to setup up an LLC?
« Reply #4 on: May 14, 2016, 05:48:26 PM »
Go to your state's Secretary of State (or equivalent) website, and there should be information to get you started.

Yeah, I've checked it out.  The mechanics are quite easy.  I'm just wondering if a lawyer brings anything to the table, like advice on how to make sure you do your day to day stuff so as to not lose the LL part of being an LLC.  Is it useful to have a lawyer's help during ongoing business operations?   Things like reviewing contracts, etc.

Kriegsspiel

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Re: Use a lawyer to setup up an LLC?
« Reply #5 on: May 14, 2016, 06:10:58 PM »
An accountant might be useful, since taxes can be complicated. But setting it up? Sounds like a lawyer is trying to raep you.

Laserjet3051

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Re: Use a lawyer to setup up an LLC?
« Reply #6 on: May 14, 2016, 06:18:13 PM »
I paid my accountant to set up my LLC. At the time I was clueless, the cost was reasonable, but in retrospect, it is dead simple (in CA) and I could have easily set it up myself. Now, MAINTAINING the veil of liability protections is a whole other story. For that, you should brush up on a bit of reading, or if you prefer, spend boatloads of money for legal/accounting advice.

NorCal

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Re: Use a lawyer to setup up an LLC?
« Reply #7 on: May 15, 2016, 07:44:19 AM »
I set one up through LegalZoom for about $150 (if I remember correctly).  Heck, my wife is a lawyer that sets up corporations, and she recommended I go this route.

It would probably be worth your time to hire a lawyer if you were doing something complex with a business partner or taking investors.  For what you're doing, you should be able to go the DIY or LegalZoom route.

Ladychips

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Re: Use a lawyer to setup up an LLC?
« Reply #8 on: May 15, 2016, 07:56:52 AM »
I used a lawyer... 1) I was going into business with a partner and 2) my husband and I were finally making our wills (what a huge relief that was!) so we were at the lawyers anyway.  Cost $850...was worth it to me.  However, in hindsight, I probably would have asked our accountant to do it (I didn't actually HAVE an accountant at the time).  I'm a bit of a nervous Nelly, so I liked having someone knowledgeable help me.

Blindsquirrel

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Re: Use a lawyer to setup up an LLC?
« Reply #9 on: May 15, 2016, 05:27:03 PM »
   I would DIY or have an accountant help you. I think it cost me $90 to have accountant do it after I called hotline for fed tax ID #.