Beginning an LLC is a fast-growing process for every person, but it is not without its legal pitfalls. Many business owners think that they can and should do everything themselves, but the intricacies of LLC formation and operation can cost them a lot. In fact, as you operate your LLC, you may encounter issues that an LLC formation attorney can help you to avoid if you had hired one at the beginning. Here are three errors that LLC owners make when they don’t have a business attorney for LLC and why getting legal help is crucial for the success of your business.

1. Not Drafting a Proper Operating Agreement

One of the worst blunders that LLC owners make is failing to get a good document known as an operating agreement. This document relates the general formation of the LLC, the duties of the members, and the manner in which decisions will be made. In its absence, discord among its members becomes evident and results in litigation which should otherwise have been averted. It is important that you consult a Nashville business law attorney to represent your business’s best interest in developing the operating agreement. Despite that an LLC with only one member is legal, it is still wise to have a strong operating agreement, especially when facing problems with the law.

2. Lack of Compliance Maintenance

Any LLC formed must follow certain legal formalities; for instance, it has to submit to the government annual reports, taxes, documents and others. Most LLC owners, with or without a business attorney Nashville, do not pay attention to these requirements. For instance, failing to meet state requirements attracts penalties, fines or at worse dissolution of the LLC. A small business attorney Nashville TN will assist you in meeting these legal requirements to keep your LLC compliant. They will also help with legal matters concerning changes so that your business is on the right side of the law as you expand.

3. Misunderstanding Liability Protection

Most LLC owners expect that incorporation of LLC offers them personal liability shield. Still, as much as an LLC is good in that it provides formation and liability protection it is not entirely perfect. Even with the best of intentions to keep your assets separate and follow all the right legal procedures to maintain that protection, you could easily make a mistake if you do not have an LLC attorney near me to guide you. This is where a Nashville business lawyer comes in, to advise you on how to correctly and legally avoid commingling of funds and whether or not your LLC has retained its protection. This step is very important as you protect your personal assets from business debts or other legal claims as may be.

Conclusion

The above-discussed mistakes should be prevented so that your LLC can be a success. Retaining an LLC formation attorney or a Nashville business attorney guarantees that your business is legally safe and well positioned for success in the future. At Moore Firm, our Nashville business law attorneys practice in handling formations and all other LLC legal matters affecting your business. Do not wait until one blunder sets you; we are here to provide the legal help your business deserves; hire us today.