(ad) Go Here to Form an LLC in Wyoming: bit.ly/Wyoming-LLC. *Note that this is an update to a prior video reflecting changes in 2024* I hope you enjoyed the video, and let me know if you have any questions. Thanks!
@@erikbrown8688 Hi. You can form your LLC in WY and have it qualify/register to do business in Virginia (or any state). Bizee, the entity-service company I recommend, can help you do this after you form your WY LLC here: bit.ly/Wyoming-LLC. Let me know if you have any other questions, thanks! Best regards, Chris
We recently created an llc in Florida why does that state always seem like bad idea in many online videos ??? Can I change that by making a wyoming llc and amending the florida owner as the wyoming llc? Can the wyoming llc be the same name or does it need be different? Do you do consulting??? Can you do video on worst 3 states to form llc and why not to lol😅
Does Bizee add the correct language in the agreement to protect personal assets against charge order protection? How can I ensure that the WY LLC is the correct anonimity?
Hi. Bizee's Operating Agreement is pretty basic and can be used for basic purposes such as opening a Bank Account (if the Bank requests an Operating Agreement to see who are the members). A related company of mine has an Operating Agreement template which covers most important issues, including charing order protection. It is relatively inexpensive because it does not come with any specific legal advice. If you are interested, here is the link: bit.ly/Legal-Templates. As for anonymity, the only thing that Bizee will include in the filed/public WY Articles of Organization is the Agent for Service of Process and the business address of the LLC (nothing about the Member or Manager, if applicable). If you want to keep your business address anonymous, they have a virtual office service for $29 per month, which you can select during the set up process. I hope this helps, but let me know if you have other questions. Thank you. Best regards, Chris
Hi. Thanks for watching and for your question. And, thanks for your suggestion on a video topic! I can't give specific legal advice without being retained, so the following is for general information purposes only. Generally speaking, assuming I'm answering your question, note that it is best to set up the parent company first (whether that's an LLC or S Corp or LLC taxed as an S Corp - the latter of which is my preference over an S Corp for reasons set forth in this video: th-cam.com/video/vPc2bt0lCkI/w-d-xo.html). If the parent company will be an LLC and the subsidiary company will be an S Corp (or LLC taxed as an S Corp), just note that entities are usually prohibited from being a shareholder of an S Corp or a member of an LLC taxed as an S Corp. An entity taxed as an S Corp has restrictions on who and how many owners it can have. With that said, the one exception is that a single-member LLC can be an owner (shareholder/member) of an S Corp or LLC taxed as an S Corp, so long as that single-member LLC is taxed as a disregarded entity. I hope that helps, but let me know if you have other questions. Best regards, Chris
A -We can set up the Wyoming entity with Bizee if we live in California? B- An asset protection company told me it would cost about $2000 plus some other compliances they’d have to keep up with; is that extreme?
Hi: Thanks for watching and for your question. Yes, you can set up a WY LLC through Bizee if you live in CA. I've done that myself on many occasions, and many of my clients have done the same. Regarding the fees for setting up a WY LLC rather than simply forming a CA LLC, the additional fees are as follows (compared to simply forming a CA LLC): (i) a one-time fee to register/qualify a WY LLC in CA (if necessary), (ii) a WY annual fee of $60, + (iii) the fees to have a registered agent in WY (though they are free for Year 1 and capped at $119 per year thereafter if you form your WY LLC through Bizee). I don't know what the asset protection company is including in its quote of $2,000, but yes that seems excessive to me. Hope that helps, but let me know if you have other questions. Best regards, Chris
Hello Chris. Thank you for this video - extremely helpful. Quick questions: 1. How easy/difficult is it to change the business address after creating the LLC, and 2. What if I want to add a trust to the LLC after creation of the LLC?
Hi Joe. You can change the address at any time after forming your LLC. You simply have to update it in WY on the annual report when it is due (or you can amend a previously filed one if you don't want to wait). You can also add your trust later in the Operating Agreement, since the member names are not public knowledge in WY. You would simply transfer the membership interests owned by you personally to your trust and reflect the same in both your Operating Agreement and your trust. If you want an Operating Agreement which already addresses how to accomplish this (a trust would be considered a Permitted Transferee ), a related company of mine sells excellent legal templates at very reasonable prices (see www.attorneydrafted.com). Hope this helps! Best regards, Chris
Thanks for watching and for your question. Yes, an LLC taxed as a partnership can have a C Corp (or other entity types) as a member. It is only when your LLC is taxed as an S Corp that there are restrictions on who/what can be a member. I hope this helps ... Best regards, Chris.
Thank you Mr Cris❗ For entertainment purpose, please, I have 2 questions: 1) Does the new law to declare an interest in an LLC is made automatically by this company in one of these packages? 2) If the WY LLC will be an holding of other LLC's, what designation of business to write in order to cover many different options of businesses? (For example: Real estate investments, Private money lending and other activities).
Thank you for watching and for your questions. Regarding the Beneficial Owner Information (BOI) and other disclosures you have to make per the Corporate Transparency Act, they do not do this for you (to my knowledge). However, I am in the process now of making a short tutorial video on how you can submit this information yourself. It's pretty simple actually. That will be my next video, so watch out for that one! Regarding what Industry you would choose for a holding company you can type in "holding company" and choose either "551112 - Holding companies (except bank, managing)" if the WY holding company won't be the "Manager" of the subsidiary LLC or "551114 - Holding companies that manage" if it will serve as the Manager of a subsidiary LLC. Note that this really doesn't matter, as this industry code is not made public and is rarely used (e.g., you may need to know it if you are bidding on a government contract). Hope that helps! Best regards, Chris
@@cjlawvideos Thank you Mr Chris 🙏 I'll dig in to it later for the second question because the holding will be the Manager / owner of the sub. LLC'S in order to keep anonymity. I will be glad to see the other video for the 1st question. 👍💐
Thank you for this super helpful video! Two questions - (1) how do I setup my own EIN without having Bizee do it for me? (2) How much does it cost to setup an EIN in Wyoming if I do it myself? I'm wanting to avoid costs where I can if feasible. Thank you!!
Thanks for your kind words and your question! If you want to obtain the EIN for your LLC on your own and for free, I have a video on that topic, which you can watch here: th-cam.com/video/sEJnB0nfHrA/w-d-xo.html I hope this helps ... but if you have questions about that video, please let me know. Best regards, Chris
Do you recommend to open LLC in Wyoming if someone wants to open it from Europe. I talk about Croatia where I live. I want to choose LLC for doing E-Commerce internationally. Thank you
Hi. Thank you for watching and for your question. I cannot give legal advice without being retained, and I'm not familiar with Croatian law, so please note the following is for informational purposes only. Yes, for both US residents and foreigners operating in the U.S., my recommendation is a WY LLC for the reasons stated in the following video: th-cam.com/video/Qag9vlnp348/w-d-xo.html. Wyoming is my preferred choice, and my understanding is that non-residents have a relatively easy time starting an LLC in WY. I hope that helps, and best of luck to you and your business ventures! Best regards, Chris
Hi Chris...just a little confused. When setting up the Wyoming LLC holding and then setting up the LLC in my home state, is the LLC name the same for both?
Hi. Technically, you can do that so long as the name is available in both WY and in your home state. However, I recommend having different names for administrative and other reasons. In my view, the there should be a distinction between the two LLCs' names. I often recommend just adding "Holding" or "Holdings" at the end of the WY LLC holding company if you want the names to be somewhat similar. I hope this helps, but if you have any follow-up questions, please let me know! Best regards, Chris
Hi, Chris. Love the channel, just have a quick question.... I live in CA and want to register my TikTok Shop business LLC in Wyoming, and was wondering if I could still write off my home rent and car lease for my particular business being that we are a 100% online e-commerce business and host all of our shipping, packaging, inventory storage and business functions from my home address? And we primarily use the car only to run business errands like to the post office and such.
Hi: Thank you for watching, and I'm glad you like the channel! I can't give legal advice without being retained, and I cannot give tax advice. So, the following comments are for general information purposes only: 1. Yes, generally speaking, you can deduct business expenses from the income of an LLC irrespective of the LLC's state of formation or the state in which you are located. 2. For example, you should be able to write off part of your rent to the extent there is dedicated space within your CA home for business purposes (e.g., 20% of rent if 20% of your house is used for your business). Certain utilities may apply as well. 3. For a car, if it is a lease it is easier to write off. For example, if your lease payment is $500 per month and you use your vehicle for 80% business purposes, you should be able to expense up $400 (80%) of your lease payment. For other vehicles (owned/financed), it gets more complicated as to what you can expense (mileage, gas, etc.) unless it is a vehicle over a certain weight (which you can depreciate). 4. Again, I am not a CPA or tax advisor, so please seek the advice of a professional tax advisor. If you need one who is reasonably priced and smart, I can refer you to my own CPA if you like. If interested, feel free to reach out to me at: www.chrisjacksonlaw.com. Best regards, Chris
@@cjlawvideos Oh, and just to be clear, would Wyoming be a good state for a TikTok Shop business, or is there a better option. Living out of California.
Dear Chris, thank you for the great advice. I’m just a little conflicted about starting an LLC out-of-state whether it’d be registered in Wyoming or elsewhere. As a New York State resident, I’ve been advised by others to just file it in NYS in order to avoid the possibility of the corporate veil being pierced and a potential loss of my personal assets. I’m paraphrasing, but their reasoning was that having an out-of-state LLC may not protect your personal assets from a plaintiff if you conduct business in your home state. For example, if I created an out-of-state LLC for my TH-cam channel, but I create my content while residing in NYS and a plaintiff sues me for whatever content I post, would my personal assets be protected if my LLC’s not registered in my home state?
Hi. Thank you for watching and for your question. I cannot give legal advice without being retained, and I am not a NYS-licensed attorney. However, generally speaking, in my view having a WY LLC would do more for protecting the member's personal assets from a lawsuit against the LLC as compared to most states for the reasons set forth in my "Best State for Your LLC:" th-cam.com/video/Qag9vlnp348/w-d-xo.html For example, in CA, I'd rather have a WY LLC than a CA LLC because it is easier to pierce the veil of a CA LLC than a WY LLC. This is especially true for single-member LLCs and for concerns about charging order protection (lawsuits against you personally affecting assets of the LLC). Another example is traditionally corporations are set up in DE (no matter where they live) due to the court system there (chancery) being pro-business. As a side note, I still recommend WY for LLCs and corporations over DE due to DE's increase in taxes a couple of years ago -(with the exception of investors who require a DE Inc/LLC or companies that intend to go public). With the above being said, if you are doing business in NY you will have to qualify your WY LLC in NY. This will mean an additional expense, including qualifying in NY (one-time fee) annual reports in both states (though WY is $60 per year) and having a registered agent in WY (though Bizee is free in year 1 and capped at $119 thereafter). Again, I recommend you seek the counsel of a NY business attorney as needed, and make sure they understand the benefits and downsides of forming an LLC outside of NY. However, if you ultimately decide to do it in NY, which may be fine, here is a tutorial on how to form an LLC in NY: th-cam.com/video/b1aOyECVfwk/w-d-xo.html Hope this helps, and best of luck to you and your business! Best regards, Chris
Thanks for watching and for your question. I can't give tax advice or legal advice without being retained, but generally speaking, yes a revocable trust can be a member of an LLC that elects S Corp tax status. The rules on who can be a member (LLC) or shareholder (Corp) of an entity taxed as an S Corp are as follows: 1. Can be individuals, certain trusts (see below), and estates 2. Cannot be partnerships, corporations or non-resident alien shareholders 3. Only entity that can be S Corp member/sharholder is: a Single-Member LLC treated as a disregarded entity for federal income tax purposes 4. Cannot have more than 100 shareholders/members 5. Can only have one class of stock/membership interest *Allowable Trusts* (I am not an expert on trusts): Wholly owned grantor trusts (e.g., a typical revocable trusts), nongrantor administrative trusts, testamentary trusts, voting trusts, ESBTs, and QSSTs. Hope this helps! Best regards, Chris
What about a foreign LLC? I live in Washington but not doing business in Washington. I want to open an LLC holding company in Wyoming. I will also possibly own property in Georgia. I know I need an LLC in Georgia. I also want the Wyoming LLC owning the Georgia LLC. Are any of these considered foreign LLCs? Can I still use a UPS address in Washington or does it have to be in Wyoming only? I won't do any business in Washington, but I live there.
Hi. Thanks for watching and for your question. I answered this in another video's comments, but it is worth repeating here. I cannot give you legal or tax advice, so it is best to seek local counsel in WA state. For general information purposes, please note that my latest video (th-cam.com/video/_IogAZ1xJoU/w-d-xo.html) should answer most or all of your questions about the Holding Company structure. Please also note ... I generally recommend forming the WY LLC first, and then when you form the GA LLC, you can list the WY LLC as the member (owner) of the GA LLC. You (or you and your spouse/partner or your trust) will be the owner of the WY LLC. For the business office address of your WY LLC, you can use a UPS Store address in WA if you like, or you can use a virtual office address (part of Bizee's set up process, or you can get it here: bit.ly/LLC-Office) in WY if you like. Whether you have to register/qualify any LLC (e.g., the WY LLC) as a foreign LLC in WA depends upon state law and regulations. Most states are pretty murky when it comes to what constitutes "doing business" in that state (e.g., do you have an office in that state, are you generating a certain amount of revenue in that state, or do you have an employee in that state). I did a little bit of research and noticed that the WA's Department of Revenue employees gave different responses as to whether it's necessary. If you want to be absolutely sure, you can ask a business attorney or CPA. I believe simply being a member of a WY LLC is in the gray area (without other factors, such as whether you are also an employee and live in WA) of whether you need to register as a foreign LLC. If you do need to do this, then note you can normally do it on the WA state website and WY will provide a Good Standing Certificate for free. If you prefer, Bizee will do it for you here: bit.ly/Foreign-Qualification I hope that helps, and best of luck to you and your business! Best regards, Chris
Hey dude really appreciate the way your thorough with explaining things. I wanted to ask 2 questions since I don't have an extra $100 to spend 😂1) What kinda permits and liscense's do I need to run a marketing agency 2) Do I need a US phone number to register for the LLC in the first place since I'm a non US resident. Thanks in advance.
Thank you for the kind words! Generally, permits are not needed unless required by the county or city in the U.S. in which you are located. U.S. phone numbers are generally not needed to form an LLC, but many banks require a U.S. phone number. I personally recommend OpenPhone if you need one. Hope this helps, but if not let me know! Best regards, Chris
Yes, this is on my list of videos to make since I get so many inquiries about setting up an LLC as a non-resident. Thanks for the suggestion! Best regards, Chris
Hi. For Wyoming, I check here: wyobiz.wyo.gov/Business/FilingSearch.aspx. Also, Bizee has a free tool. If you select this link: bit.ly/IncFileForLLC, then choose "Resource Center" at the top, and then in the column on the left choose "Business Name Search Tool." Hope that helps! Best regards, Chris
does the manager in the attorney-quality LLC operating Agreement have the authority to mange brokerage activities, including buying and stocks on behalf of the LLC
Thanks for watching and for your question. I can't give you legal advice without being hired, but here are my general comments: 1. Yes, in my related company's Operating Agreement templates, a Manager has a lot of authority. Also, LLC Managers are generally perceived by third-parties to have the authority to transact on behalf of the LLC (much like a CEO). 2. The templates are here: bit.ly/Legal-Templates. 3. They are in Word format, come with instructions and are fully-customizable. For example, if you want to specifically call out that authority, you can add something like the following to Section 5.7: "to manage brokerage activities, including without limitation buying and selling stocks, ETFs or funds on behalf of the Company." I hope that helps, but let me know if you have other questions. Best regards, Chris
Thanks so much for this video Chris! Watching you go step by step made this whole process so easy. I don't know why I was so nervous. I filed on a Thursday night and by noon the next day, I had my EIN and everything! Amazing process. I have a question now about creating another LLC but in CA. I created the Wyoming LLC to be like a parent company and I want it to be the parent company / own the LLC CA. Is this something I can do with Bizee? Thanks again for your videos!
Thank you for watching and for your kind words. I'm glad you found the video helpful and that the forming of your LLC was smooth and quick! To answer your question, yes. You can use Bizee to form your CA LLC, and here is my video on that topic: th-cam.com/video/LOtPM_b6JGU/w-d-xo.html. When you get to the "Member" section of the set-up process, you can simply enter your WY LLC as the member of the CA LLC. If you want more information about LLC Holding Company structures in general, here is my latest video on that topic: th-cam.com/video/_IogAZ1xJoU/w-d-xo.html. I hope this helps, but please let me know if you have other questions! Best regards, Chris
Thank you for your videos, they’re very informative. In another video, you mentioned having a real estate property held in CA LLC with the WY LLC managing it. Could the CA property be held in a WY LLC with the WY holding LLC manage it? Basically, what are pros/cons to have a WY subsidiary LLC for properties in other states vs an LLC in the same state as the property? Thank you.
Thank you for your kind words and for watching my videos. This is not legal advice, but here are some options to consider assuming you want a holding company structure: 1. You own the WY Holding Company LLC, and the WY LLC owns the CA LLC which owns the rental property. This is the most typical LLC holding company structure for rental properties. The CA LLC can be Manager-Managed or Member-Managed. I generally recommend Manager-Managed. If you don't have an issue with anonymity, you can appoint yourself as the Manager. 2. You own the WY Holding Company LLC, and the WY Holding Company LLC owns a subsidiary WY LLC. That subsidiary WY LLC owns the property in CA and qualifies to do business in CA. In my view, again, not legal advice, but I believe this would be a bit more protective than scenario 1. However, note that you would have the extra charge for qualifying the subsidiary WY LLC in CA (which Bizee can do or you can do yourself to save money) and the annual fees for such LLC in both WY ($60) and CA. Hope this helps! Best regards, Chris
I only need us business name and address with ein. Its for just tiktok shop Do you think i can go for the free package and apply for ein by myself on the irs site for free??
Thanks for watching and for your question. Yes, that's certainly an option. Here is my video on how to obtain an EIN for free on the IRS website: th-cam.com/video/sEJnB0nfHrA/w-d-xo.html
Hi Chris, Your video is really very informative and easy , keep up the good work. I have a question, is this the same place where i can open a non resident LLC or can you link me to a separate video for non resident LLC if there is any that you have made already. thanks , Paul
Hi Paul. Thank you for watching, for your kind words and for your question. Although I plan to make a video specifically for non-residents, I have not done so yet. However, I recommend Wyoming (this video) as the best jurisdiction for both residents and non-residents. The primary difference is that, when you get to the EIN section, select that you are a non-resident/foreigner so that they know how to obtain the EIN for your LLC. Once you have the EIN, you can open a bank account for your LLC. Hope this helps and I wish you all the best! Best regards, Chris
@@cjlawvideos I live in Europe and considering to set up an LLC in Wyoming. I've read that it is not very easy to open a bank account unless you visit the branch. That's one thing that is keeping me at the moment. I know there are online banking services but I would rather have an account at one of the major banks. Would you know whether it is as difficult as they say?
@@planetaryPoem9 Hi. Thanks for your question. I don't have any direct feedback yet from non-residents as to what particular banks have worked (other than the WY branches of traditional banks are best), but here are some general thoughts: If you want to use a traditional bank, in most cases you will need to show a US address (e.g., a virtual address - some but not all banks may request a lease). And, the EIN document you receive from the IRS should have a US address (you don't need one to obtain an EIN, but having a US address on your EIN will help you open a US LLC bank account). I have read that Wells Fargo is one of the easiest banks in which a foreign-owned LLC can open an account. Bizee works with Bank of America, so you should have that free consult with the banker. Alternatively, one non-FDIC insured option is an entity called "Wise." They are not a bank, but they can accept money from US sources, then transfer to your account (assuming you are not in a restricted country). Here is a good article from them about foreigners opening up US accounts for their entities: wise.com/us/blog/open-a-us-bank-account-non-resident. Hope that helps, and let me know how it goes if you could. I'd like to share with my other non-resident followers which banks work best. Thanks! Best regards, Chris
Yes, Wyoming only discloses the business address on the Articles of Organization (and nothing about the name of the member). When you file the annual report in WY (a year after you form your LLC) someone will need to sign it as the "authorized rep" but whoever is signing that form it is not necessarily the member or manager. I hope I answered your question, but if not please let me know! Best regards, Chris
Hi. Thanks for watching and for your question. The business tax consultation is about 30 minutes and will cover things like tax election (e.g., should your LLC be taxed as a sole-proprietorship or S Corporation), book keeping, tax savings strategies, etc. It is meant as a 1-time free session with immediate actionable items along with things to think about implementing long-term. However, if you need a CPA to file your tax returns, that will be something you would arrange separate from this formation-service add-on. I generally recommend having an accountant to help with ongoing or tax filing matters. If you need a referral, reach out to me at www.chrisjacksonlaw.com. I'll introduce you to the guy I use (who is smart and relatively inexpensive). Best regards, Chris
Hi Chris! Thank you so much for these informative videos! I am completely new to all of this and have been wanting to form an LLC in WY and was in the process of submitting my application on Bizee. However, I do not know which address to input for the added service for them to research required licenses. I live in TX. Do I put the virtual Wyoming office address they provide for them to mail the applications or my personal address? Please let me know as that is the only thing holding me up from submitting! Thank you so much!
Hi. Sorry for the delay in responding! I can't give legal advice without being retained, so the following is for general information purposes only. If you are forming a WY LLC which you will register to do business in TX, then its your place of business which may or may not require a license. For example, if you live in Dallas TX and will operate there, then you would use that address to determine whether you need a license or permit. However, if you do not need to register your business in TX (it depends upon your business, where you have employees/offices, etc. and your state rules) and they WY virtual office will be the only office for your LLC, then you can use the WY virtual office address for license purposes. I hope that helped, and best of luck to you and your business! Best regards, Chris
@cjlawvideos thank you so much for responding! I guess I should’ve elaborated more! My WY LLC will be the holding company to my TX LLC which will be my operational company in TX. I wasn’t sure which address to put if it was for a holding company in WY.
@@mytien.truong You're welcome. Sorry for misunderstanding. I believe you are asking what address to insert in the Member section of the Bizee set up process for your TX LLC. Since the Member of the TX LLC will be the WY LLC, I would insert the WY LLC's virtual office address (which I presume is in WY). I hope I answered your question, but if not, please let me know. Best regards, Chris
"Hey Chris! I'm Manish from India, and I'm looking to register my 2-member LLC as a non-US resident. I'd appreciate your insights on the key points to consider and any extra requirements compared to a single member LLC. Thanks in advance for your help!"
Hi Manish. Thanks for watching and for your question. When you get to "Select Number of Members," there should be a drop-down menu where you can choose "2." Then, just complete each Member's information. Also, when you get to the EIN section, you can select "I am a foreign individual who does not have a Social Security Number." They will then obtain the EIN (Tax ID) for your LLC so you can, after receiving the EIN, open a bank account for the LLC. Hope that helps, but let me know if you have any additional questions. Thank you. Best regards, Chris
Chris, what is your advice on using your own name in your LLC? I'm seeing videos that say never use your own name, videos that say sometimes, and videos that say it doesn't matter. Thanks.
Hi. That's a good question (and I'm assuming anonymity is not important to you). I guess it comes down to whether you want to brand your name or some other brand. For example, I use my own name for my law firm (Chris Jackson Law, PC). In that entity, I'm the one doing all the legal work, and I want my clients to know who their dealing with at all times. Alternatively, for my LLCs I use names that are descriptive of what each LLC does. My name is not as important in those businesses, and I want the LLCs to carry on after I'm gone and for their respective brands to develop value. I hope that helps, but let me know if you have other questions. Thank you. Best regards, Chris
@@GaryThomasEntertainment Yep, that makes sense! Let me know if you have other questions, and best of luck to you and your entertainment business! Best regards, Chris
Chris, at about the 16min mark you mentioned restrictions of LLC which file taxes as S-Corps. Do you have additional detail or resources on this topic. Thanks!
Hi. Thanks for watching and for your question. The IRS S corporation restrictions on shareholders applies to members of an LLC when the LLC elects S Corp status. To qualify for S Corp status, the corporation or LLC (as applicable) must meet the following requirements: 1. Corp/LLC must be a US entity electing S Corp status. 2. Corp/LLC can only have allowable shareholders/members. This can include individuals, certain trusts and certain single-member LLCs only (if such LLC is disregarded for tax purposes). You cannot have other types of entities or any non-resident aliens/foreigners as shareholders/members. 3. Corp/LLC can have no more than 100 shareholders/members. 4. Corp/LLC can have only one class of stock/membership interest. Hope this helps! Best regards, Chris
You're welcome. I believe you are asking whether you can pay yourself through the LLC? The answer is yes, it is quite common to pay yourself a salary from your LLC, especially if you elect S Corp tax status (though I cannot give tax advice). I personally pay myself from my own LLC, and I also signed up for a 401(k) with a company match (which is tax deductible to the LLC). Note that forming an entity through this service comes with a free tax consultation, so please take advantage of that and ask all the questions you have. Also, if you want a comprehensive "Next Steps Guide" which answers these questions and many other common ones, a related company of mine is selling it (along with legal templates) here: bit.ly/Legal-Templates. I also have a Next Steps video which covers many items (though not in as much detail) here: th-cam.com/video/QvFuTI3CdbQ/w-d-xo.html. I hope I answered your question, but if not please let me know! Best regards, Chris
Hi. Thanks for watching and for your question. I cannot give legal advice without being retained or tax advice (ever), so the following is for general information purposes only: 1. Generally speaking I prefer an LLC (which has fewer formalities than a corporation) that elects to be taxed as an S Corp. This way, you get the best of both worlds. 2. However, I don't recommend that an LLC be taxed as an S Corp if the purpose of the LLC is to own real estate. 3. Note that this video will discuss how to form an LLC and have Bizee help you elect S Corp tax status for that LLC. I hope this helps, but let me know if you have other questions. Best regards, Chris
@@Rexs_Live I'm glad it helped, and thank you for your comment! It's comments like this that inspire me to spend more time making videos! Best regards, Chris
Hello, i live in nevada my llc is registered in nevada but 95% of the work is in california so when i do taxes i pay california taxes, what could you suggest? Should close my llc in nevada and open a new one in CA? Or open a foreign llc in CA and pay taxes in both states but i am not working that much in NV only like $5,000 a year in NV, i would appreciate your help of what i should do thank you!
Hi. Thanks for watching and for your question. I cannot give legal advice without being retained (and cannot give tax advice), but here are some general things to consider. Since most of the work is in CA, you would likely have to either qualify/register your NV LLC as a foreign LLC doing business in CA or have a CA LLC. Since you reside in NV and have some work in NV, whatever route you choose would require you to be qualified to do business in both CA and NV. With that said, since NV has better asset protection laws than CA, I would simply keep your NV LLC and qualify it to do business in CA. I would normally recommend a WY LLC, but since you live in NV (and NV is in my top 3 of states in which to form an LLC), I would just maintain the status quo. Hope that helps, and I wish you and your business all the best. Thank you. Best regards, Chris
(ad) Go Here to Form an LLC in Wyoming: bit.ly/Wyoming-LLC.
*Note that this is an update to a prior video reflecting changes in 2024* I hope you enjoyed the video, and let me know if you have any questions. Thanks!
I'm going to do this within the next 2 weeks. Since you're a dog lover, I already trust you, Chris. Cheers, Chuck (North East Florida)
Ha ... thank you! Let me know if you have any questions during or after the process. Best regards, Chris
I started my business from your videos in the past. Thanks a lot!
That's good to hear, and thank you very much. I'm glad the video was helpful! Let me know if you have any questions. Best regards, Chris
@@cjlawvideoscan I do this if I live in Virginia how can I do business in Virginia do I have to bring it in as foreign
@@erikbrown8688 Hi. You can form your LLC in WY and have it qualify/register to do business in Virginia (or any state). Bizee, the entity-service company I recommend, can help you do this after you form your WY LLC here: bit.ly/Wyoming-LLC. Let me know if you have any other questions, thanks! Best regards, Chris
Hey have been following your page; great advice always; will be reaching out to you soon! Doing this for two LLCs!
Thank you for the kind words. If you have any questions that arise when you are forming your LLCs, please let me know. Best regards, Chris
Thanks Chris, great advice, keep up the good work
Thank you ... I appreciate the kinds words! Best regards, Chris
Appreciate your time & your video !
Thank you so much, and I'm glad you liked it! Best regards, Chris
Thanks Chris, I will be forming mine this weeks. Jax is a mighty fine looking' piece of dog. Cheers, Chuck (Jacksonville, Florida)
Sounds good, and let me know if you have any questions. And, thanks for your comment about Jax... I agree ... he's a handsome boy! Best regards, Chris
We recently created an llc in Florida why does that state always seem like bad idea in many online videos ??? Can I change that by making a wyoming llc and amending the florida owner as the wyoming llc? Can the wyoming llc be the same name or does it need be different? Do you do consulting??? Can you do video on worst 3 states to form llc and why not to lol😅
@@forextrinitrader These are excellent questions and suggestions ‼️ 👍
Does Bizee add the correct language in the agreement to protect personal assets against charge order protection? How can I ensure that the WY LLC is the correct anonimity?
Hi. Bizee's Operating Agreement is pretty basic and can be used for basic purposes such as opening a Bank Account (if the Bank requests an Operating Agreement to see who are the members). A related company of mine has an Operating Agreement template which covers most important issues, including charing order protection. It is relatively inexpensive because it does not come with any specific legal advice. If you are interested, here is the link: bit.ly/Legal-Templates. As for anonymity, the only thing that Bizee will include in the filed/public WY Articles of Organization is the Agent for Service of Process and the business address of the LLC (nothing about the Member or Manager, if applicable). If you want to keep your business address anonymous, they have a virtual office service for $29 per month, which you can select during the set up process. I hope this helps, but let me know if you have other questions. Thank you. Best regards, Chris
Who can we hire to fill out the necessary paperwork from fear of making a tragic legal mistake from biting us in the a$§ later? @@cjlawvideos
I know where here to be informed on llc but the dog visit is the best part lol 😂
I agree, thanks! Jax is the best part of all my videos!
Can you tell us how to set up an S corp and put an LLC inside it?
Hi. Thanks for watching and for your question. And, thanks for your suggestion on a video topic! I can't give specific legal advice without being retained, so the following is for general information purposes only.
Generally speaking, assuming I'm answering your question, note that it is best to set up the parent company first (whether that's an LLC or S Corp or LLC taxed as an S Corp - the latter of which is my preference over an S Corp for reasons set forth in this video: th-cam.com/video/vPc2bt0lCkI/w-d-xo.html).
If the parent company will be an LLC and the subsidiary company will be an S Corp (or LLC taxed as an S Corp), just note that entities are usually prohibited from being a shareholder of an S Corp or a member of an LLC taxed as an S Corp. An entity taxed as an S Corp has restrictions on who and how many owners it can have.
With that said, the one exception is that a single-member LLC can be an owner (shareholder/member) of an S Corp or LLC taxed as an S Corp, so long as that single-member LLC is taxed as a disregarded entity.
I hope that helps, but let me know if you have other questions. Best regards, Chris
A -We can set up the Wyoming entity with Bizee if we live in California?
B- An asset protection company told me it would cost about $2000 plus some other compliances they’d have to keep up with; is that extreme?
Hi: Thanks for watching and for your question. Yes, you can set up a WY LLC through Bizee if you live in CA. I've done that myself on many occasions, and many of my clients have done the same. Regarding the fees for setting up a WY LLC rather than simply forming a CA LLC, the additional fees are as follows (compared to simply forming a CA LLC): (i) a one-time fee to register/qualify a WY LLC in CA (if necessary), (ii) a WY annual fee of $60, + (iii) the fees to have a registered agent in WY (though they are free for Year 1 and capped at $119 per year thereafter if you form your WY LLC through Bizee). I don't know what the asset protection company is including in its quote of $2,000, but yes that seems excessive to me. Hope that helps, but let me know if you have other questions. Best regards, Chris
Hello Chris. Thank you for this video - extremely helpful. Quick questions: 1. How easy/difficult is it to change the business address after creating the LLC, and 2. What if I want to add a trust to the LLC after creation of the LLC?
Hi Joe. You can change the address at any time after forming your LLC. You simply have to update it in WY on the annual report when it is due (or you can amend a previously filed one if you don't want to wait). You can also add your trust later in the Operating Agreement, since the member names are not public knowledge in WY. You would simply transfer the membership interests owned by you personally to your trust and reflect the same in both your Operating Agreement and your trust. If you want an Operating Agreement which already addresses how to accomplish this (a trust would be considered a Permitted Transferee ), a related company of mine sells excellent legal templates at very reasonable prices (see www.attorneydrafted.com). Hope this helps! Best regards, Chris
Ok so if my holding is a partnership, and is a c Corp then I can use it as a member of my llc
Thanks for watching and for your question. Yes, an LLC taxed as a partnership can have a C Corp (or other entity types) as a member. It is only when your LLC is taxed as an S Corp that there are restrictions on who/what can be a member. I hope this helps ... Best regards, Chris.
Thank you Mr Cris❗ For entertainment purpose, please, I have 2 questions:
1) Does the new law to declare an interest in an LLC is made automatically by this company in one of these packages?
2) If the WY LLC will be an holding of other LLC's, what designation of business to write in order to cover many different options of businesses? (For example: Real estate investments, Private money lending and other activities).
Thank you for watching and for your questions.
Regarding the Beneficial Owner Information (BOI) and other disclosures you have to make per the Corporate Transparency Act, they do not do this for you (to my knowledge). However, I am in the process now of making a short tutorial video on how you can submit this information yourself. It's pretty simple actually. That will be my next video, so watch out for that one!
Regarding what Industry you would choose for a holding company you can type in "holding company" and choose either "551112 - Holding companies (except bank, managing)" if the WY holding company won't be the "Manager" of the subsidiary LLC or "551114 - Holding companies that manage" if it will serve as the Manager of a subsidiary LLC. Note that this really doesn't matter, as this industry code is not made public and is rarely used (e.g., you may need to know it if you are bidding on a government contract).
Hope that helps! Best regards, Chris
@@cjlawvideos Thank you Mr Chris 🙏 I'll dig in to it later for the second question because the holding will be the Manager / owner of the sub. LLC'S in order to keep anonymity.
I will be glad to see the other video for the 1st question. 👍💐
@@nouche-30064 Ok, thanks. Best regards, Chris
Thank you for this super helpful video! Two questions - (1) how do I setup my own EIN without having Bizee do it for me? (2) How much does it cost to setup an EIN in Wyoming if I do it myself? I'm wanting to avoid costs where I can if feasible. Thank you!!
Thanks for your kind words and your question!
If you want to obtain the EIN for your LLC on your own and for free, I have a video on that topic, which you can watch here: th-cam.com/video/sEJnB0nfHrA/w-d-xo.html
I hope this helps ... but if you have questions about that video, please let me know. Best regards, Chris
thank you sir
You are welcome ... I'm glad you found the video helpful! Best regards, Chris
Do you recommend to open LLC in Wyoming if someone wants to open it from Europe. I talk about Croatia where I live. I want to choose LLC for doing E-Commerce internationally.
Thank you
Hi. Thank you for watching and for your question. I cannot give legal advice without being retained, and I'm not familiar with Croatian law, so please note the following is for informational purposes only. Yes, for both US residents and foreigners operating in the U.S., my recommendation is a WY LLC for the reasons stated in the following video: th-cam.com/video/Qag9vlnp348/w-d-xo.html. Wyoming is my preferred choice, and my understanding is that non-residents have a relatively easy time starting an LLC in WY. I hope that helps, and best of luck to you and your business ventures! Best regards, Chris
Hi Chris...just a little confused. When setting up the Wyoming LLC holding and then setting up the LLC in my home state, is the LLC name the same for both?
Hi. Technically, you can do that so long as the name is available in both WY and in your home state. However, I recommend having different names for administrative and other reasons. In my view, the there should be a distinction between the two LLCs' names. I often recommend just adding "Holding" or "Holdings" at the end of the WY LLC holding company if you want the names to be somewhat similar. I hope this helps, but if you have any follow-up questions, please let me know! Best regards, Chris
Hi, Chris. Love the channel, just have a quick question.... I live in CA and want to register my TikTok Shop business LLC in Wyoming, and was wondering if I could still write off my home rent and car lease for my particular business being that we are a 100% online e-commerce business and host all of our shipping, packaging, inventory storage and business functions from my home address? And we primarily use the car only to run business errands like to the post office and such.
Hi: Thank you for watching, and I'm glad you like the channel! I can't give legal advice without being retained, and I cannot give tax advice. So, the following comments are for general information purposes only:
1. Yes, generally speaking, you can deduct business expenses from the income of an LLC irrespective of the LLC's state of formation or the state in which you are located.
2. For example, you should be able to write off part of your rent to the extent there is dedicated space within your CA home for business purposes (e.g., 20% of rent if 20% of your house is used for your business). Certain utilities may apply as well.
3. For a car, if it is a lease it is easier to write off. For example, if your lease payment is $500 per month and you use your vehicle for 80% business purposes, you should be able to expense up $400 (80%) of your lease payment. For other vehicles (owned/financed), it gets more complicated as to what you can expense (mileage, gas, etc.) unless it is a vehicle over a certain weight (which you can depreciate).
4. Again, I am not a CPA or tax advisor, so please seek the advice of a professional tax advisor. If you need one who is reasonably priced and smart, I can refer you to my own CPA if you like. If interested, feel free to reach out to me at: www.chrisjacksonlaw.com.
Best regards, Chris
@@cjlawvideos Wow, this was great info. Thank you very much. Can't wait to set up my LLC. I'll be watching more of your vidoes, as well.🙂
@@cjlawvideos Oh, and just to be clear, would Wyoming be a good state for a TikTok Shop business, or is there a better option. Living out of California.
Dear Chris, thank you for the great advice. I’m just a little conflicted about starting an LLC out-of-state whether it’d be registered in Wyoming or elsewhere. As a New York State resident, I’ve been advised by others to just file it in NYS in order to avoid the possibility of the corporate veil being pierced and a potential loss of my personal assets. I’m paraphrasing, but their reasoning was that having an out-of-state LLC may not protect your personal assets from a plaintiff if you conduct business in your home state. For example, if I created an out-of-state LLC for my TH-cam channel, but I create my content while residing in NYS and a plaintiff sues me for whatever content I post, would my personal assets be protected if my LLC’s not registered in my home state?
Hi. Thank you for watching and for your question. I cannot give legal advice without being retained, and I am not a NYS-licensed attorney. However, generally speaking, in my view having a WY LLC would do more for protecting the member's personal assets from a lawsuit against the LLC as compared to most states for the reasons set forth in my "Best State for Your LLC:" th-cam.com/video/Qag9vlnp348/w-d-xo.html
For example, in CA, I'd rather have a WY LLC than a CA LLC because it is easier to pierce the veil of a CA LLC than a WY LLC. This is especially true for single-member LLCs and for concerns about charging order protection (lawsuits against you personally affecting assets of the LLC). Another example is traditionally corporations are set up in DE (no matter where they live) due to the court system there (chancery) being pro-business.
As a side note, I still recommend WY for LLCs and corporations over DE due to DE's increase in taxes a couple of years ago -(with the exception of investors who require a DE Inc/LLC or companies that intend to go public).
With the above being said, if you are doing business in NY you will have to qualify your WY LLC in NY. This will mean an additional expense, including qualifying in NY (one-time fee) annual reports in both states (though WY is $60 per year) and having a registered agent in WY (though Bizee is free in year 1 and capped at $119 thereafter).
Again, I recommend you seek the counsel of a NY business attorney as needed, and make sure they understand the benefits and downsides of forming an LLC outside of NY. However, if you ultimately decide to do it in NY, which may be fine, here is a tutorial on how to form an LLC in NY: th-cam.com/video/b1aOyECVfwk/w-d-xo.html
Hope this helps, and best of luck to you and your business! Best regards, Chris
can a personal property trust be a member of a WLLC if the entity elects to be taxed as a S Corp?
Thanks for watching and for your question. I can't give tax advice or legal advice without being retained, but generally speaking, yes a revocable trust can be a member of an LLC that elects S Corp tax status. The rules on who can be a member (LLC) or shareholder (Corp) of an entity taxed as an S Corp are as follows:
1. Can be individuals, certain trusts (see below), and estates
2. Cannot be partnerships, corporations or non-resident alien shareholders
3. Only entity that can be S Corp member/sharholder is: a Single-Member LLC treated as a disregarded entity for federal income tax purposes
4. Cannot have more than 100 shareholders/members
5. Can only have one class of stock/membership interest
*Allowable Trusts* (I am not an expert on trusts): Wholly owned grantor trusts (e.g., a typical revocable trusts), nongrantor administrative trusts, testamentary trusts, voting trusts, ESBTs, and QSSTs.
Hope this helps! Best regards, Chris
What about a foreign LLC? I live in Washington but not doing business in Washington. I want to open an LLC holding company in Wyoming. I will also possibly own property in Georgia. I know I need an LLC in Georgia. I also want the Wyoming LLC owning the Georgia LLC. Are any of these considered foreign LLCs? Can I still use a UPS address in Washington or does it have to be in Wyoming only? I won't do any business in Washington, but I live there.
Hi. Thanks for watching and for your question. I answered this in another video's comments, but it is worth repeating here.
I cannot give you legal or tax advice, so it is best to seek local counsel in WA state. For general information purposes, please note that my latest video (th-cam.com/video/_IogAZ1xJoU/w-d-xo.html) should answer most or all of your questions about the Holding Company structure. Please also note ...
I generally recommend forming the WY LLC first, and then when you form the GA LLC, you can list the WY LLC as the member (owner) of the GA LLC. You (or you and your spouse/partner or your trust) will be the owner of the WY LLC.
For the business office address of your WY LLC, you can use a UPS Store address in WA if you like, or you can use a virtual office address (part of Bizee's set up process, or you can get it here: bit.ly/LLC-Office) in WY if you like.
Whether you have to register/qualify any LLC (e.g., the WY LLC) as a foreign LLC in WA depends upon state law and regulations. Most states are pretty murky when it comes to what constitutes "doing business" in that state (e.g., do you have an office in that state, are you generating a certain amount of revenue in that state, or do you have an employee in that state). I did a little bit of research and noticed that the WA's Department of Revenue employees gave different responses as to whether it's necessary. If you want to be absolutely sure, you can ask a business attorney or CPA. I believe simply being a member of a WY LLC is in the gray area (without other factors, such as whether you are also an employee and live in WA) of whether you need to register as a foreign LLC. If you do need to do this, then note you can normally do it on the WA state website and WY will provide a Good Standing Certificate for free. If you prefer, Bizee will do it for you here: bit.ly/Foreign-Qualification
I hope that helps, and best of luck to you and your business! Best regards, Chris
Hey dude really appreciate the way your thorough with explaining things. I wanted to ask 2 questions since I don't have an extra $100 to spend 😂1) What kinda permits and liscense's do I need to run a marketing agency 2) Do I need a US phone number to register for the LLC in the first place since I'm a non US resident. Thanks in advance.
Also can you create a video about all the documents I may need to create an LLC as a non resident
Thank you for the kind words! Generally, permits are not needed unless required by the county or city in the U.S. in which you are located. U.S. phone numbers are generally not needed to form an LLC, but many banks require a U.S. phone number. I personally recommend OpenPhone if you need one. Hope this helps, but if not let me know! Best regards, Chris
Yes, this is on my list of videos to make since I get so many inquiries about setting up an LLC as a non-resident. Thanks for the suggestion! Best regards, Chris
how to check the name llc availability ?
where to check that ?
Hi. For Wyoming, I check here: wyobiz.wyo.gov/Business/FilingSearch.aspx. Also, Bizee has a free tool. If you select this link: bit.ly/IncFileForLLC, then choose "Resource Center" at the top, and then in the column on the left choose "Business Name Search Tool." Hope that helps! Best regards, Chris
does the manager in the attorney-quality LLC operating Agreement have the authority to mange brokerage activities, including buying and stocks on behalf of the LLC
Thanks for watching and for your question. I can't give you legal advice without being hired, but here are my general comments:
1. Yes, in my related company's Operating Agreement templates, a Manager has a lot of authority. Also, LLC Managers are generally perceived by third-parties to have the authority to transact on behalf of the LLC (much like a CEO).
2. The templates are here: bit.ly/Legal-Templates.
3. They are in Word format, come with instructions and are fully-customizable. For example, if you want to specifically call out that authority, you can add something like the following to Section 5.7: "to manage brokerage activities, including without limitation buying and selling stocks, ETFs or funds on behalf of the Company."
I hope that helps, but let me know if you have other questions. Best regards, Chris
Thanks so much for this video Chris! Watching you go step by step made this whole process so easy. I don't know why I was so nervous. I filed on a Thursday night and by noon the next day, I had my EIN and everything! Amazing process.
I have a question now about creating another LLC but in CA. I created the Wyoming LLC to be like a parent company and I want it to be the parent company / own the LLC CA. Is this something I can do with Bizee?
Thanks again for your videos!
Thank you for watching and for your kind words. I'm glad you found the video helpful and that the forming of your LLC was smooth and quick!
To answer your question, yes. You can use Bizee to form your CA LLC, and here is my video on that topic: th-cam.com/video/LOtPM_b6JGU/w-d-xo.html. When you get to the "Member" section of the set-up process, you can simply enter your WY LLC as the member of the CA LLC.
If you want more information about LLC Holding Company structures in general, here is my latest video on that topic: th-cam.com/video/_IogAZ1xJoU/w-d-xo.html.
I hope this helps, but please let me know if you have other questions! Best regards, Chris
Thank you for your videos, they’re very informative.
In another video, you mentioned having a real estate property held in CA LLC with the WY LLC managing it. Could the CA property be held in a WY LLC with the WY holding LLC manage it?
Basically, what are pros/cons to have a WY subsidiary LLC for properties in other states vs an LLC in the same state as the property? Thank you.
Thank you for your kind words and for watching my videos. This is not legal advice, but here are some options to consider assuming you want a holding company structure:
1. You own the WY Holding Company LLC, and the WY LLC owns the CA LLC which owns the rental property. This is the most typical LLC holding company structure for rental properties. The CA LLC can be Manager-Managed or Member-Managed. I generally recommend Manager-Managed. If you don't have an issue with anonymity, you can appoint yourself as the Manager.
2. You own the WY Holding Company LLC, and the WY Holding Company LLC owns a subsidiary WY LLC. That subsidiary WY LLC owns the property in CA and qualifies to do business in CA. In my view, again, not legal advice, but I believe this would be a bit more protective than scenario 1. However, note that you would have the extra charge for qualifying the subsidiary WY LLC in CA (which Bizee can do or you can do yourself to save money) and the annual fees for such LLC in both WY ($60) and CA.
Hope this helps! Best regards, Chris
I only need us business name and address with ein. Its for just tiktok shop
Do you think i can go for the free package and apply for ein by myself on the irs site for free??
Thanks for watching and for your question. Yes, that's certainly an option. Here is my video on how to obtain an EIN for free on the IRS website: th-cam.com/video/sEJnB0nfHrA/w-d-xo.html
Hi Chris,
Your video is really very informative and easy , keep up the good work. I have a question, is this the same place where i can open a non resident LLC or can you link me to a separate video for non resident LLC if there is any that you have made already.
thanks ,
Paul
Hi Paul. Thank you for watching, for your kind words and for your question. Although I plan to make a video specifically for non-residents, I have not done so yet. However, I recommend Wyoming (this video) as the best jurisdiction for both residents and non-residents. The primary difference is that, when you get to the EIN section, select that you are a non-resident/foreigner so that they know how to obtain the EIN for your LLC. Once you have the EIN, you can open a bank account for your LLC. Hope this helps and I wish you all the best! Best regards, Chris
@@cjlawvideos I live in Europe and considering to set up an LLC in Wyoming. I've read that it is not very easy to open a bank account unless you visit the branch. That's one thing that is keeping me at the moment. I know there are online banking services but I would rather have an account at one of the major banks. Would you know whether it is as difficult as they say?
@@planetaryPoem9 Hi. Thanks for your question. I don't have any direct feedback yet from non-residents as to what particular banks have worked (other than the WY branches of traditional banks are best), but here are some general thoughts:
If you want to use a traditional bank, in most cases you will need to show a US address (e.g., a virtual address - some but not all banks may request a lease). And, the EIN document you receive from the IRS should have a US address (you don't need one to obtain an EIN, but having a US address on your EIN will help you open a US LLC bank account).
I have read that Wells Fargo is one of the easiest banks in which a foreign-owned LLC can open an account. Bizee works with Bank of America, so you should have that free consult with the banker.
Alternatively, one non-FDIC insured option is an entity called "Wise." They are not a bank, but they can accept money from US sources, then transfer to your account (assuming you are not in a restricted country). Here is a good article from them about foreigners opening up US accounts for their entities: wise.com/us/blog/open-a-us-bank-account-non-resident.
Hope that helps, and let me know how it goes if you could. I'd like to share with my other non-resident followers which banks work best. Thanks! Best regards, Chris
Does Wyoming still give anonymity from the public to new LLC owners?
Yes, Wyoming only discloses the business address on the Articles of Organization (and nothing about the name of the member). When you file the annual report in WY (a year after you form your LLC) someone will need to sign it as the "authorized rep" but whoever is signing that form it is not necessarily the member or manager. I hope I answered your question, but if not please let me know! Best regards, Chris
in the package it mentioned a Business tax consultant is that like an accountant as time moves forward or do I have to hire my own accountant?
Hi. Thanks for watching and for your question. The business tax consultation is about 30 minutes and will cover things like tax election (e.g., should your LLC be taxed as a sole-proprietorship or S Corporation), book keeping, tax savings strategies, etc. It is meant as a 1-time free session with immediate actionable items along with things to think about implementing long-term. However, if you need a CPA to file your tax returns, that will be something you would arrange separate from this formation-service add-on. I generally recommend having an accountant to help with ongoing or tax filing matters. If you need a referral, reach out to me at www.chrisjacksonlaw.com. I'll introduce you to the guy I use (who is smart and relatively inexpensive). Best regards, Chris
Hi Chris! Thank you so much for these informative videos! I am completely new to all of this and have been wanting to form an LLC in WY and was in the process of submitting my application on Bizee. However, I do not know which address to input for the added service for them to research required licenses. I live in TX. Do I put the virtual Wyoming office address they provide for them to mail the applications or my personal address? Please let me know as that is the only thing holding me up from submitting! Thank you so much!
Hi. Sorry for the delay in responding! I can't give legal advice without being retained, so the following is for general information purposes only.
If you are forming a WY LLC which you will register to do business in TX, then its your place of business which may or may not require a license. For example, if you live in Dallas TX and will operate there, then you would use that address to determine whether you need a license or permit. However, if you do not need to register your business in TX (it depends upon your business, where you have employees/offices, etc. and your state rules) and they WY virtual office will be the only office for your LLC, then you can use the WY virtual office address for license purposes. I hope that helped, and best of luck to you and your business! Best regards, Chris
@cjlawvideos thank you so much for responding! I guess I should’ve elaborated more! My WY LLC will be the holding company to my TX LLC which will be my operational company in TX. I wasn’t sure which address to put if it was for a holding company in WY.
@@mytien.truong You're welcome. Sorry for misunderstanding. I believe you are asking what address to insert in the Member section of the Bizee set up process for your TX LLC. Since the Member of the TX LLC will be the WY LLC, I would insert the WY LLC's virtual office address (which I presume is in WY). I hope I answered your question, but if not, please let me know. Best regards, Chris
"Hey Chris! I'm Manish from India, and I'm looking to register my 2-member LLC as a non-US resident. I'd appreciate your insights on the key points to consider and any extra requirements compared to a single member LLC. Thanks in advance for your help!"
Hi Manish. Thanks for watching and for your question. When you get to "Select Number of Members," there should be a drop-down menu where you can choose "2." Then, just complete each Member's information. Also, when you get to the EIN section, you can select "I am a foreign individual who does not have a Social Security Number." They will then obtain the EIN (Tax ID) for your LLC so you can, after receiving the EIN, open a bank account for the LLC. Hope that helps, but let me know if you have any additional questions. Thank you. Best regards, Chris
Chris, what is your advice on using your own name in your LLC? I'm seeing videos that say never use your own name, videos that say sometimes, and videos that say it doesn't matter. Thanks.
Hi. That's a good question (and I'm assuming anonymity is not important to you). I guess it comes down to whether you want to brand your name or some other brand. For example, I use my own name for my law firm (Chris Jackson Law, PC). In that entity, I'm the one doing all the legal work, and I want my clients to know who their dealing with at all times. Alternatively, for my LLCs I use names that are descriptive of what each LLC does. My name is not as important in those businesses, and I want the LLCs to carry on after I'm gone and for their respective brands to develop value. I hope that helps, but let me know if you have other questions. Thank you. Best regards, Chris
@@cjlawvideos Thanks for the advice. I produce entertainment so I want my name to be known.
@@GaryThomasEntertainment Yep, that makes sense! Let me know if you have other questions, and best of luck to you and your entertainment business! Best regards, Chris
Chris, at about the 16min mark you mentioned restrictions of LLC which file taxes as S-Corps. Do you have additional detail or resources on this topic. Thanks!
Hi. Thanks for watching and for your question.
The IRS S corporation restrictions on shareholders applies to members of an LLC when the LLC elects S Corp status. To qualify for S Corp status, the corporation or LLC (as applicable) must meet the following requirements:
1. Corp/LLC must be a US entity electing S Corp status.
2. Corp/LLC can only have allowable shareholders/members. This can include individuals, certain trusts and certain single-member LLCs only (if such LLC is disregarded for tax purposes). You cannot have other types of entities or any non-resident aliens/foreigners as shareholders/members.
3. Corp/LLC can have no more than 100 shareholders/members.
4. Corp/LLC can have only one class of stock/membership interest.
Hope this helps! Best regards, Chris
@@cjlawvideos This is great and so are your info sessions on youtube!
@@mdchambo Thank you very much for your kind words, and I'm glad it was helpful! Best of luck to you and your business. Best regards, Chris
Thank you for this! Will I be able to pay independent contractor and myself selecting individual LLC?
You're welcome. I believe you are asking whether you can pay yourself through the LLC? The answer is yes, it is quite common to pay yourself a salary from your LLC, especially if you elect S Corp tax status (though I cannot give tax advice). I personally pay myself from my own LLC, and I also signed up for a 401(k) with a company match (which is tax deductible to the LLC). Note that forming an entity through this service comes with a free tax consultation, so please take advantage of that and ask all the questions you have. Also, if you want a comprehensive "Next Steps Guide" which answers these questions and many other common ones, a related company of mine is selling it (along with legal templates) here: bit.ly/Legal-Templates. I also have a Next Steps video which covers many items (though not in as much detail) here: th-cam.com/video/QvFuTI3CdbQ/w-d-xo.html. I hope I answered your question, but if not please let me know! Best regards, Chris
Would it be better to have an S corp so the taxes are more favorable than the LLC ?
Hi. Thanks for watching and for your question. I cannot give legal advice without being retained or tax advice (ever), so the following is for general information purposes only:
1. Generally speaking I prefer an LLC (which has fewer formalities than a corporation) that elects to be taxed as an S Corp. This way, you get the best of both worlds.
2. However, I don't recommend that an LLC be taxed as an S Corp if the purpose of the LLC is to own real estate.
3. Note that this video will discuss how to form an LLC and have Bizee help you elect S Corp tax status for that LLC.
I hope this helps, but let me know if you have other questions. Best regards, Chris
@ it sure does thank you !!! Keep doing videos ! They are helping people !
@@Rexs_Live I'm glad it helped, and thank you for your comment! It's comments like this that inspire me to spend more time making videos! Best regards, Chris
Oh my God, I am crazy about your dog now..... :)
Thank you! He is the best part of all my videos!
Hello, i live in nevada my llc is registered in nevada but 95% of the work is in california so when i do taxes i pay california taxes, what could you suggest? Should close my llc in nevada and open a new one in CA? Or open a foreign llc in CA and pay taxes in both states but i am not working that much in NV only like $5,000 a year in NV, i would appreciate your help of what i should do thank you!
Hi. Thanks for watching and for your question. I cannot give legal advice without being retained (and cannot give tax advice), but here are some general things to consider.
Since most of the work is in CA, you would likely have to either qualify/register your NV LLC as a foreign LLC doing business in CA or have a CA LLC. Since you reside in NV and have some work in NV, whatever route you choose would require you to be qualified to do business in both CA and NV.
With that said, since NV has better asset protection laws than CA, I would simply keep your NV LLC and qualify it to do business in CA. I would normally recommend a WY LLC, but since you live in NV (and NV is in my top 3 of states in which to form an LLC), I would just maintain the status quo. Hope that helps, and I wish you and your business all the best. Thank you. Best regards, Chris
Hello thank you for your video, do you have an email or a way to reach you ?
Hi. You can reach out to me via my website, which is: www.chrisjacksonlaw.com. Best regards, Chris