How to Convert a Sole Proprietorship to an LLC in California (2020)

If you want to convert a sole proprietorship to LLC in California, you can do so with my help. I am well-versed in all types of entity formations. Therefore, I can assist you in making this type of business conversion.

Just email me at sam@mollaeilaw.com anytime. I can guide you in making a change that will protect you legally and financially.

Usually, converting a sole proprietorship to LLC in California will bode well for you, as it will enable you to make money with less legal and financial worries. The idea of making this change is to protect you from getting sued and to protect your personal assets. 

 

How Setting Up an LLC Can Help

When you set up an LLC with my help, you can do the following:

  • Limit liability
  • Manage your business more easily
  • Enjoy pass-through taxation, or pay taxes on your personal tax returns, avoiding problems with double taxation
  • Enjoy added privacy,

How to Start a Company (5 Practical Steps) (2020)

If you want to know how to start a company, you need to speak to a business attorney, like myself, and learn some of the basics of establishing a business. You really cannot start a company without advice from an experienced business attorney. You can reach me by email at sam@mollaeilaw.com to set up an appointment and seek further advice. 

 

Why You Need Legal Help if You Want to Know How to Start a Company

By using the services of an experienced and knowledgeable business attorney, you can get your questions answered and find out how to start a company that will succeed. For example, you can opt to operate in business by forming one of the following entities:

  • A Sole Proprietorship
  • A Partnership
  • A Limited Liability Company (LLC)
  • A Corporation
  • A Professional Corporation

I can assist you in determining which entity will be right for you. Read the following information to give you a general idea about beginning a business first.

9 Disadvantages of Sole Proprietorships (Important in 2020!)

Disadvantages of Sole Proprietorship

Some entrepreneurs dream of creating a huge company, employing hundreds.

Others would rather be a “one-person show” as a sole proprietor.

A sole proprietorship is owned and run by one individual who receives all profits. It has the benefit of being relatively easy and inexpensive to establish.

Of course, that only tells part of the story. There are several disadvantages to sole proprietorship to be aware of and guard against as well.

My name is Sam Mollaei, and as a Business Lawyers for Entrepreneurs, I can help you decide what type of business organization – including sole proprietorship – might be right for you.

And of course, if you have any questions about your unique situation, feel free to email me.

By the end of this post, you’ll know what the disadvantages of sole proprietorship are so you can make an informed decision as to whether this business structure is right for you.

 

1. Your Liability Is Unlimited

The most serious disadvantage of being a sole proprietor is unlimited exposure to liabilities and lawsuits.