swsmith310
New Member
- Jurisdiction
- California
I run an online store importing custom goods from overseas. I have 2 partners with varying levels of equity in the business, one partner is set up as an S corp in CA, the other is my other founding member (an individual). I live in California where I run the company from my home on my laptop. When an order is placed, it is done so through our website and shipped directly from our distributor in China, to the customer. I never see or touch the product.
We've been in business for a couple of years, and I opened a separate bank account and cc (under my name) that are dedicated to be used only for business purposes. I have never taken any money out of the business for personal use. Every dollar earned was put into the account or spent on business related activities. None of the partners have seen any personal gain from the business.
My question is about how to transition from the way we are structured today to an actual business entity. We recently have begun marketing efforts and have seen a recent influx in orders (just under $3k so far this month in sales). I want to make sure that the company is set up correctly and efficiently but we really have very limited cash, so we are very price conscious. I'm not sure where I stand in terms of legality of the business over the past couple years, and would like to remedy it retroactively, as well as be set up for business in the future.
I set up a "free consultation" with a local attorney who says that "this type of work is the bulk of his business". Can anyone provide insight into how I should prepare for this meeting? What questions I should be asking, what to expect in terms of costs (one time / ongoing), and how to know if he is likely to do quality work.
Any feedback is appreciated as I feel a bit overwhelmed thinking about the importance of this step in my business. Thanks!
We've been in business for a couple of years, and I opened a separate bank account and cc (under my name) that are dedicated to be used only for business purposes. I have never taken any money out of the business for personal use. Every dollar earned was put into the account or spent on business related activities. None of the partners have seen any personal gain from the business.
My question is about how to transition from the way we are structured today to an actual business entity. We recently have begun marketing efforts and have seen a recent influx in orders (just under $3k so far this month in sales). I want to make sure that the company is set up correctly and efficiently but we really have very limited cash, so we are very price conscious. I'm not sure where I stand in terms of legality of the business over the past couple years, and would like to remedy it retroactively, as well as be set up for business in the future.
I set up a "free consultation" with a local attorney who says that "this type of work is the bulk of his business". Can anyone provide insight into how I should prepare for this meeting? What questions I should be asking, what to expect in terms of costs (one time / ongoing), and how to know if he is likely to do quality work.
Any feedback is appreciated as I feel a bit overwhelmed thinking about the importance of this step in my business. Thanks!