Entity Conversion

$99.00

SKU: FS-ENTITY-CONV Categories: , ,

Description

Entity Conversion

Need to either change the tax status or entity type of your company?

For a base price starting at $99 for Tax Conversion, L4SB will convert your LLC to a S-Corp or C-Corp. For a base price starting at $199 for Entity Conversion, L4SB will convert your LLC to a Corporation, or a Corporation to a LLC.

What’s Included:

For Either Tax Status or Entity Conversions:

  • Lawyer Defined (TM). Only the very best will do for our clients.
  • Work With Professionals. L4SB employs certified paralegals and trained legal assistants, with immediate escalation to attorneys as necessary.
  • Same Day Service
  • Automatic Privacy. We only convey the absolutely minimum necessary to the state, in an attempt to maximize your privacy.
  • Registered Agent Service. Legally required for legal notices and service of process.
  • Compliance Assistance. Our systems will notify you of important dates and upcoming compliance tasks in your target state.
  • Personalized Dashboard. We are investing heavily in technology, and constantly adding new features to make it easy to keep informed, seek guidance, obtain assistance, and more.
  • From Cradle to Grave. Forming a company is just your first interaction with us — we’ll be here to help you at every step, to provide legal assistance, advice, documents and much, much more (additional fees may apply).

For Tax Status Conversion Only:

  • Help fill out and submit IRS Form 2553 (for S-Corp Election) or IRS Form 8832 (for C-Corp Election)
  • Revised Operating Agreement to support the new Tax Status, using our Couture Operating Agreement generator

For Entity Conversions:

  • Appropriate Articles of Conversion
  • Conversion of Articles (i.e. from Incorporation to Organization, or visa-versa)
  • If Corporation to LLC, access to our Couture Operating Agreement program
  • If LLC to Corporation, access to our Couture Bylaws/Shareholder program
  • Appropriate Corporate Resolution
  • Tailored Instructions: How to Vote. We give you personalized, tailored instructions on how to properly conduct a vote, given the methods and options you’ve selected in your Operating Agreement or Bylaws/Shareholder Agreement.
  • Tailored Instructions: Taxation. We also give you personalized, tailored instructions on the tax status of your organization.
  • Tailored Instructions: Next Steps. Once your organization is formed, we give you a checklist on next steps. If appropriate (i.e. for Asset Purchase and Foreign Corporation), we’ll give you an e-Book to help you with your transition.

 

What’s NOT Included:

This is a low-cost offering, assuming there are no difficult issues to resolve (which would require additional expense for lawyer time). Examples of difficult issues to resolve include, but are not limited to:

  • Handling change of ownership issues
  • Resolving ownership or partnership disputes
  • Significant revision to Operating Agreement or Bylaws / Shareholder Agreement, beyond what our expert computer systems are capable of doing

Miscellaneous Information

Lawyer Defined (TM)

A L4SB exclusive. This means guaranteed high-quality processes and documents, to maximize your security, privacy, liability and asset protection, and much more. We won’t let you do something that can jeopardize your long-term safety, like our competition. For example, when our competition says you can use their address and provide “free mail service,” doing this violates USPS rules and therefore could be used against you and your company by a plaintiff’s attorney, if you ever found yourself in a lawsuit. We will also advise you, and help you setup your organization structure properly to maximize tax benefits, minimize liability, and ensure legal compliance in all jurisdictions you may operate.

Registered Agent Services

A registered Agent is a person or company with a mailing address (not PO box) in the state your company is registered who can receive service of process and governmental notices on behalf of your company. This is not a physical address for your company. The Law 4 Small Business difference: You’re not alone — We review legal notices sent to your company, and will give you feedback / guide you, if requested.

The Couture Operating Agreement (TM) for LLC’s and Couture Bylaws/Shareholder Agreement for Corporations

Only L4SB has it. We’ve written an expert system that generates a high-quality, highly customized Operating Agreement for you (or Bylaws/Shareholder Agreement if you have a Corporation). Chose from over 100+ options, and it’s smart — it guides you and makes recommendations based on what it learns from you.

No Attorney-Client Privilege and Confidentiality

Our Move Corporation is a filing service, not a legal service. Therefore, this service should NOT be viewed as conveying general legal attorney-client privilege and confidentiality, like our attorney consults do. When you order an attorney consult, the communications and conversations with our attorneys are subject to attorney-client privilege and confidentiality, to the extent we can convey it, in the states we’re licensed. Such attorney-client privilege and confidentiality does not exist for this particular service. Please do not disclose any information to us, that you would view as privileged and/or confidential.

This is a Filing Service, not a Legal Service

Legal services are governed by each state’s Professional Rules of Conduct, which convey numerous duties and obligations on attorneys that you may not normally expect. For example, when performing legal services, it’s critical an attorney does not create a conflict of interest with the client, as well as inform the client of any conflicts of interest. In this instance (for our Move Corporation filing service), we do not view nor treat this service as a legal service and therefore do not perform conflicts checking.

Refund and Cancellation Policy

  • We will REFUND YOU IN FULL, at your request, provided we have not performed any services on your behalf. There is NO REFUND for completed services.
  • Note that our services INCLUDE preparation, processing and handling (valued at $150), even if we end up not submitting anything to the state (for whatever reason). Therefore, if we’ve spent time on your behalf in the preparation, processing or handling of your order, we reserve the right to deduct $150 from any refund you request. Preparation, processing and handling includes trying to contact you to verify and approve our work, even if you fail to respond to us.
  • We will cancel your order, at our discretion, if you are unresponsive or otherwise fail to answer our questions to our satisfaction. If we cancel for this reason, we will NOT issue you a refund unless you request it. If you do request it and we issue a refund, it will be less $150 for our services related to the preparation, processing and handling of your order, and less any other services we have provided (i.e. if you ordered a document, and we sent you that document, we will deduct the cost for that document from your refund). Typically, we will not cancel your order, unless we have been unable to move your order forward for eight (8) months or more.
  • We will first attempt to issue you a refund using the same payment method you used to pay for your order. If that fails (i.e. because we’re beyond the deadline to do this — typically six (6) months for credit cards), we will issue a check to the name used on the payment method (i.e. if Joe ordered from us, but used Jane’s credit card, we will issue the refund to Jane).

You should double-check with your accountant about “converting the entity” versus “converting the tax status”. This is a very easy thing to get confused, and you really want to make sure you’re doing the right thing. One suggestion is to ask your accountant, “You want me to convert my LLC to a Corporation, versus simply have the LLC taxed under Subchapter S?”

If your accountant wants you to be taxed under Subchapter S, and doesn’t care whether you have a LLC or Corporation, then our suggestion is to select Tax Status Conversion Only. This will preserve your entity type, but help you convert the tax status of your organization.

Otherwise, if your accountant does want you to convert the entity type from LLC to Corporation, then select Full Entity Conversion.

If you’re not sure, then we strongly encourage you to select the Not sure. Have tax attorney call before proceeding. option. This is not something you want to screw up.

Not all states permit entity conversion. Specifically, Montana, New Jersey and New York do not have any form of entity conversion option whatsoever. Kentucky doesn’t permit LLC to Corporation conversion, but it does permit Corporation to LLC conversion.

We can help change the tax status of a LLC or Corporation, but we cannot convert the entity type in these states.

If you live in one of these states, and you want a conversion that is not supported, please contact us, since there are other options (i.e. such as a merger to a new entity type).

No. An Entity Conversion assumes you already have a corporate entity (i.e. Corporation or LLC) in place, and you want to change it to something else.

If you are a sole proprietorship, you are “the company.” To start operating as a corporate entity, you need to form a Corporation or form a LLC. If you’re not sure what you want, we encourage you to try our Entity Selection Tool to help you determine the best entity for your needs.

If you have other questions, we do sell a 30-minute business attorney consult, which can help answer questions and point you in the right direction.

But, please DO NOT purchase this service. It’s intended for existing company structures, not new structures and not sole proprietorships.