When starting a new business in Alabama, the process can seem a bit overwhelming. There are all kinds of decisions that must be made regarding your business before it can even begin, and that can take time and stress to reach the place you want to be. To simplify the process of registering your new business in Alabama, there are a number of basic guidelines to follow.
Select a Business Type:
Limited Liability Companies (LLCs)
LLCs are a type of company that, as the name suggests, have limited liability when it comes to business debts and claims. Another benefit of LLC’s is that in Alabama, they are typically pass-through entities, where the company’s profits go directly to its members without being taxed from the business. This prevents double taxation. Members of LLC’s are, however, considered self-employed, meaning they pay Social Security and Medicare taxes.
Corporations
Another form of business that you can start in Alabama is a corporation. Corporations have many benefits as well, including liability protection, ease of sale, and different possible tax benefits. This kind of company typically goes through an extensive formation process that can be challenging and time consuming.
Non Profit Organizations
If your company is focused on helping the community or other outreach based services, you may want to establish a non profit organization. Nonprofits are charitable organizations that commonly focus on helping different communities with needs that can be underfunded, understaffed, or otherwise in need of support. Because of this, nonprofit organizations in Alabama benefit from certain tax exemptions. However, there are also regulations that dictate how a nonprofit organization must be managed.
Seek Professional Business Formation Advice
A common thread between all types of businesses that can be formed in Alabama is that there are laws and regulations that mandate certain aspects of how the business must be established, run, and managed. The business formation process may be overwhelming on your own, but thankfully legal professionals with experience in Alabama business formation can help you navigate this process and ensure a smooth and timely experience.
Business Registration at Muncie, Mattson, & Gunter
The experienced attorneys at Muncie, Mattson, & Gunter provide knowledgeable and valuable advice to business owners and those looking to start a company of their own in Alabama. Our corporate practice includes formation of various corporate entities including LLCs, Corporations, and Nonprofits. We also prepare corporate buy/sell agreements and provide contract analysis, as well as advice on business structuring.
If you are looking for an experienced Alabama law firm that you can trust to help you navigate the business formation process, look no further than Muncie, Mattson, & Gunter, Attorneys at Law. Contact us today for more information about our Alabama business formation services and expertise, or give us a call to get started!