if i am starting a small consulting practice should i establish the business as an LLC and how do you do this?

Answer 1

An LLC has the benefit of being simple. It's a flow-through company, so profits flow through at the end of every year to the principals of the company. That's a typical structure for consulting practices because partners can more easily gain their share of the business profits without as much SEC red-tape.

You can find organizing documents for an LLC for your state at your local Staples or Office Max, or you can use an online business form service. I've used similar sites online, but I haven't used the particular one I've given as a link before. They're basically all you'll need for the legal part of it.

As far as grounding yourself in good business practices, David Maister seems to be the one you'll most want to read about owning and running your own professional service firm. He's done a great job assisting your type of people with several very good books.

Good luck

Answer 2

Research, research, research – this cannot be stressed enough. Read as much as you can. Here are some book titles that are relevant:

* Ultimate Book of Forming Corps, LLCs, Partnerships & Sole Proprietorships by Michael Spadaccini
* LLC or Corporation?: How To Choose The Right Form For Your Business by Anthony Mancuso
* Legal Guide For Starting & Running A Small Business (8th Edition) by Fred S. Steingold

There are plenty of free informational resources out there. Check the source box for links to articles & sites.

Hope that helps! I wish you much success & happiness in all your ventures!

Answer 3

Try, the book Own Your Own Corporation by Robert T. Kiyosaki. It has thorough info on the various corporate structures, and which one is appropriate for your particular business.