Vermont LLC Formation Steps

Starting a business in Vermont?

You probably know, if you're a business owner or real estate investor, that a limited liability company delivers value.

For example, both real estate investors and small business owners operating as limited liability companies neatly reduce their legal risks. Specifically, with an LLC, the owners of the LLC are not liable for the debts and obligations of the LLC merely because they are owners. That feature of an LLC means, in a worst-case scenario, that an LLC protects its owners and investors. Owners can see their investment in an LLC whipped out, for instance. But owners shouldn't because of their investment in the LLC lose other, additional personal assets.

And the LLC benefit doesn't end there. Particularly for small businesses, a limited liability company also offers another tantalizing benefit. A limited liability company may choose how its income and deductions will be reported to the Internal Revenue Service and the Vermont Department of Taxes. For example, a small business operating as an LLC might be treated as a sole proprietorship or partnership. But the same small business could choose instead to be treated as a corporation or even an S Corporation if that tax treatment saves the business money. (Typically, by the way, corporate tax treatment does save a small business lots of money--often thousands of dollars a year per owner. )

Accordingly, because the limited liability company option is so attractive, Vermont small business owners and real estate investors really ought to consider this choice. Furthermore, because the Vermont Secretary of State has done such a good job by making free forms and other information resources available at the state website, many experienced business people and investors may be able to set up an LLC on their own without outside professional help or without paying fees to an online incorporation service.

If this is something you're interested in, consider using one of the do-it-yourself Vermont limited liability company kits described below. The first kit targets small business owners who want to set up a limited liability company. The second kit targets individual and husband-and-wife real estate investors who want to set up a limited liability company area.

Vermont Premium LLC e-book and Operating Agreements: $44.95

The premium kit provides an overview of why and when you'd use a Vermont LLC and supplies how-to instructions for setting up the LLC and for getting the appropriate licenses and tax identification numbers. The premium kit also comes with sample limited liability company operating agreements (you can use these as "starter" operating agreements for your own LLC) and the premium kit explains when and how to make tax elections that allow your LLC to receive favorable C corporation or S corporation tax treatment.

If you purchase the premium kit--something you can do by clicking the purchase and download button shown below--you get to immediately download the zip file that holds the 20-page-ish e-book and the two rich-text-format word processing files that supply the boilerplate operating agreements.

Vermont Economy LLC e-book and Operating Agreements: $34.95

If you don't need the information about the corporate tax election stuff-say because you know you won't make these elections because you're a real estate investor--you don't need the premium kit. In fact, seriously, at this point, I'm sorry I initially called it "the premium kit." If you're a real estate investor, you want to use what I rather unfortunately labeled "the economy kit." The economy kit is just the premium kit minus the discussion and details related to the corporate tax elections an LLC can make. If this sounds like what you need or want, click the button below to get the Vermont kit: