Starting a New Business
When starting a new business, choosing the wrong kind of business structure can cost you time, money, and personal assets. What structure you choose impacts your duties, obligations and liabilities. Additionally, it’s important you have all the necessary documents in order so you can secure the protection for yourself, your business partners, your personal and company assets, and for your business itself. For example, in Utah you can legally (1) create a partnership without having a partnership agreement; (2) create an LLC without an operating agreement; and (3) create a corporation without bylaws. But that doesn’t mean you should. Cautious and strategic business owners should always have these and other documents in place before they begin generating income. It’s also important that you understand your managerial responsibilities. The way you keep records, report, and manage ownership differs depending on what type of business entity you have selected.
Types of Business Entities to Consider
In Utah, there are seven different types of businesses you can choose from. Click each of the links below to read about the pros and cons of each of the different types of Utah business entities.