Today I took the first step towards forming an LLC (Limited Liability Company).
Essentially, an LLC protects the owner from having her personal finances and assets put under the umbrella of the company. This creates a good legal separation because if a company grows and the owner isn't necessarily responsible for the business's debts, the owner doesn't risk losing her house, savings, or other assets. There are a few more advantages as they pertain to taxation and other topics. But this is my main consideration at the moment while I set up this company to hopefully be built up beyond just having me as the Single Member of the LLC.
The first step before filing any other paperwork was submitting a form to the Department of State called "Application for Reservation of Name." It is simple to fill out, and for $20, I can ensure that no one snags the name of my company while I am waiting for all of these forms to be processed by the Department of State. I sent it in by USPS, and I will reveal the name once the Certificate of Reservation comes back to me letting me know that my chosen name has been reserved.
This and all other relevant forms for establishing a business in the state of New York can be found on the Department of State's website: http://www.dos.ny.gov/corps/dom_llcfile.html
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