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Entity Mistakes That Can Cost You Later

Choosing the wrong business structure can cost you big down the road—think unnecessary taxes, investor issues, and even personal liability. But many startups don’t realize this until it’s too late.

 

💡 LLC vs. Corporation: Most startups default to an LLC because it’s simple, but if you’re planning to raise venture capital, investors typically require a Delaware C-Corp.

 

💡 Partnership Pitfalls: If you’re starting with co-founders, you need a founders’ agreement early on to avoid disputes over ownership and decision-making.

 

💡 Personal Liability Risks: Choosing the wrong entity—or not setting one up at all—could leave you personally liable for business debts or lawsuits.

 

 Your entity choice impacts your funding, taxes, and liability. If you’re unsure whether your setup fits your goals, now is the time to fix it—before it becomes a costly problem. Let’s make sure your business is built on the right foundation!

 





Videos and content are for educational purposes only, not to provide specific legal advice.

 

 

 

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This Blog/Web Site is made available by the lawyer or law firm publisher for educational purposes only as well as to give you general information and a general understanding of the law, not to provide specific legal advice. By using this site you understand that there is no attorney client relationship between you and the Blog/Web Site publisher. The Blog/Web Site should not be used as a substitute for competent legal advice from a licensed professional attorney in your state.

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