Incorporate online?

I'm looking to set up a US company with a trusted friend in the US. We're planning a LLC with the company shres split 50%-50%.

He's been quoted $500 to file in Maryland via an attorney, but wouldn't it be cheaper and impler to file online?

Or will the fact that the company shares be split mean an attorney will be required rather than a simple online registration?

 

The price vary from place to place even on line. The cheapest that I have bought was $150 which included set of books and corporation seal. You decide how many shares you want to issue in the time of registration and when you receive the company books, you register the number of shares of each partner in the company book.
You will need a separate partnership agreement which is a pretty standard and you can download a free one on line and make the changes to suit your needs.

 

Here's what my first boss (and owner of that company) told me 31 years ago: "Always hire the best lawyer and the best accountant you can afford." Sage advice I've tried to follow ever since.

Scrimping on your legal and accounting structures now will likely prove very expensive in the long run. I have a great partnership with a trusted friend - we spent thousands setting up the most beneficial corporate and tax arrangements in the US and Canada for our companies. We've operated almost four years with zero legal or accounting problems.

Just thinking about "doing it myself" gives me a headache.

db

PS. It doesn't mean you pay rack rate ... you should always negotiate the best rate possible no matter who you hire.

 

I agree but having a good lawyer and accountant is a later stage. The $500 registration fee is just that, filling the forms and sending it in to register office.
I once had a lawyer that wanted to charge me $400 for a matter regarding a patent. Guess what was he going to do for this money? Write my name and address on top of a standard form and mailed in.

 

Thats what I mean - in the UK I can register a new business for around £35 - while I can go to a solicitor or accountant and have it done for £350.

The only difference is that I am then simply being charged a commercial rate on the professionals time to do pretty much what I could be doing anyway - at least, so long as its a standard limited liability company.

I simply wondered about the US business scene, though, as making a $400 saving on company registration, by doing it direct online rather than pay an attorney to file the same forms, seems to make sense.

However, thats simply because I am aware that there are online registrations available in the USA - but I am not aware if these are above board ompany registrations that will do the job as required, as in the UK.

 

Most of them are but price varies among the online sites also. Many states require that you must have a registered agent in that state and this is where these companies make their money. It is usually baout $100/year to have them as registered agent.
They will mail you the registeration paper from the state after it is registered, so you can decide to continue working with them or chose another way.

 

Ah, now that makes sense. I'd already had it suggested that the attorney would be the company agent, but I didn'y really understand what was meant by that. Your reply makes things much clearer. I guess we just sign-up the attorney and get it done.

 

Just don't let him to charge you anything more than $100/year for the registered agent, they do nothing except to be a mailing address, so the official papers can be send to.