A number of central Texas communities have received national recognition as great places to launch a business. Helped by an entrepreneurial spirit and an educated workforce new may businesses thrive in Texas. Another key to successful startups is sound legal guidance from the ground up.
D. Scott Heselmeyer, PC serves businesses of all sizes from international corporations to small businesses in central Texas. He trys to help new businesses make prudent, forward-looking decisions. He has the business background and legal experience to help you make the right decisions from the start.
There are a number of different ways to form a business in Texas, including general partnerships, limited partnerships and limited liability companies. Here are some very basic explanations of the differences.
- General partnerships are an association between two or more partners to accomplish a common business purpose. They share the profits or losses of the business. When forming a general partnership, it's important to have a written partnership agreement that defines the rights, responsibilities and interests of the members of the partnership. General partnerships do not offer a shield from personal liability.
- Limited partnerships -unlike general partnership-provide protection for limited partners from debts and claims of the business entity. To form a limited partnership, partners must file a document called a certificate of limited partnership with the Texas Secretary of State. It must have at least one general partner and at least one limited partner. Profits and losses in a limited partnership pass to the owners in proportion to their ownership interests. General partners take part in managing the partnership, but the role of limited partners is restricted. For that reason, it's important to have a written agreement defining the rights and duties of the general and limited partners.
- Limited liability companies are relatively recent addition to Texas business law. It is a hybrid between a general and limited partnership and a corporation. A limited liability company, if properly structured, will shield its owners from personal liability for the business' debts and obligations. To form a limited liability company, members file articles of organization with the Texas Secretary of State. These are similar to articles of incorporation of a corporation.
Whatever kind of business you are launching, it's important to consult an experienced business law attorney to make sure you are getting off to a sound start with the correct type of business organization. Scott Heselmeyer has assisted a number of startup businesses and can assist yours.
An experienced Texas business attorney, D. Scott Heselmeyer, PC, has a range of fee structures to fit businesses of all sizes. He assists clients in Central Texas (Austin, Round Rock, Cedar Park, Westlake, Lakeway, Georgetown, Hutto, and Pflugerville) and the Dallas / Fort Worth area (Dallas, Plano, Fort Worth, Addison, Carrollton, Frisco and Richardson).
Contact him at (888) 639-5028