Below is the Statistics on number of businesses (State-wise) in the US. 60% of these businesses have less than 5 employees –  

State	Number of Businesses	State	Number of Businesses
Alabama	83,319	Maryland	74,730
Alaska	23,796	Massachusetts	123,314
Arizona	85,384	Michigan	177,845
Arkansas	61,078	Minnesota	103,333
California	701,876	Mississippi	50,196
Colorado	110,844	Missouri	117,469
Connecticut	75,270	Montana	35,837
Delaware	15,183	Nebraska	42,204
District of Columbia	8,832	Nevada	42,634
Florida	375,543	New Hampshire	31,059
Georgia	165,810	NewJersey	149,214
Hawaii	29,452	NewMexico	43,986
Idaho	36,739	NewYork	293,878
Illinois	206,838	North Carolina	170,956
Indiana	104,176	North Dakota	18,334
Iowa	67,253	Ohio	192,243
Kansas	62,037	Oklahoma	79,088
Kentucky	68,812	Oregon	85,907
Louisiana	88,294	Pennsylvania	230,835
Maine	31,788	Rhode Island	20,654
South Carolina	85,821	Virginia	113,192
South Dakota	19,044	Washington	124,979
Tennessee	109,389	WestVirginia	27,427
Texas	396,060	Wisconsin	125,384
Utah	41,623	Wyoming	18,098
Vermont	17,181

ICS can incorporate your busines, and take on all the mundane work such as Book Keeping, payroll processing, financial analysis, so that you can focus on your business. All these services delivered at 1/4th the price that a typical CPA office charges. I heard you saying, WHAT, Is that possible? The answer is, Yes, our Delivery excellence is the one that enables us to offer quality service at lower than affordable price!

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The contents of this post are personal statements or opinions expressed by Sudhir Gurudatt Pai, Co-Founder, President & CEO, ICS Inc. They must not be construed as financial, investment or taxation advice. ICS, Inc (www.mybizfiler.com) offers a wide range of services typically offered by a Big 5 Accounting firm and a CPA firm in the U.S. ICS offers Incorporation, Book Keeping, Payroll Services, HR & Business Consulting etc.  Contact ICS today at    203 437 4083   , e-mail – sales@mybizfiler.com, or by accessing 24/7 chat page on www.mybizfiler.com.

There is no restriction on an Non Resident becoming a director or share holder of a U.S Corporation, however the only exception to that is an S Corporation. The subchapter "S" Corporation is a variation of the "C" Corporation and under a different IRS Tax Code. The "S" Corporation is allowed the flow-through taxation treatment similar to that of a partnership and sole proprietorship. Double taxation is avoided by its owners/shareholders. The limitations however are that:

1. Non-resident aliens cannot be shareholders.
2. Ownership is limited to 100 stockholders.
3. Owners cannot be corporations, partnerships, pension plans, charitable organizations, certain trust.
4. To maintain subchapter "S" Corporation status and therefore there is a requirement for strict compliance with stringent rules.

So, in essence the option for Non Residents, Non American Citizens is to incorporate their business as a C Corporation or as a Limited Liability Corporation (LLC).

Incorporating a company in the U.S not only helps you to protect your assets, but also de-risk and overcome some of your Work Visa (H1, L1, F1 Opt) challenges. It also allows you to plan your tax and save some money from going to Uncle Sam! Incorporate your investment business, Day care center, Consulting business, REIT, Non profit activities today, and realize the asset protection, Saving in tax dollars today! ___________________________________________________________________________

Sudhir Gurudatt Pai, Author of this post, is the President & CEO of ICS, Inc. www.mybizfiler.com.

Any U.S. tax or other forms of advice contained in the body of this page was not intended or written to be used, and cannot be used, by the recipient as a guidance note, or for the purpose of avoiding penalties that may be imposed under the Internal Revenue Code or other Federal, State or Local tax law provisions. If you need Taxation & Financial services, OR Professional guidance in interpreting federal or state laws, kindly contact a professional from ICS Inc.

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In a sole proprietorship or general partnership, the business income and losses may be reported on your personal income tax returns, and the band’s legal liability may be attached to the individual members. In terms of dealing with band debt, contracts, and general liability to outside parties, each member in the band shoulders the burden as an agent of the band. For example, if one member runs up the band’s credit card, all members might be held personally accountable. Raising money for new gear or to go on tour would most likely occur through a loan with your personal credit at stake. On the other hand, sole proprietorships and general partnerships are attractive for the simplicity and informal nature of setting up and running your business. There are little formalities for corporate record keeping, voting, and even holding meetings.

Forming a corporation for your band is also a viable choice since you can sell shares in the band, allowing you to raise money for your band. Additionally, as a corporation, the legal liability of the band is most likely separate from your personal liability. For instance, if the band is forced to breach a contract, the corporation will most likely be liable instead of you as an individual. However, forming a corporation is costly, time consuming, and requires extensive managerial and financial record keeping. You are also required to adhere to other formal requirements such as shareholder and director meetings which may be burdensome for you and your band members.

Another effective business structure for many musicians is one that has the flexibility of a sole proprietorship or a general partnership as well as the limited liability and economic benefits of a corporation. A limited liability company (LLC) is flexible and cost effective for bands and operates under fewer corporate formalities. You and your band should consult with an accountant to discuss the added tax benefits of forming an LLC as well.

Creating an LLC for your band may also help avoid problems if the group dynamic changes or deteriorates. During formation, the band members will anticipate the band’s future business needs and address these needs in the Operating Agreement. The Operating Agreement governs the business and legal procedures of the LLC by addressing such issues as who controls the use of the material, performance rights of former members, and voting rights of new members.

Bands that are serious and form a solid entity can help level the playing field when dealing with larger record labels and recording companies by giving off a more polished and professional appearance. Additionally, you are defining your business and instilling confidence and credibility with people and businesses, such as financial and lending institutions.

Whether your band forms an LLC, general partnership or corporation, you should meet with an attorney to discuss the benefits of each. Together, you can identify a business structure specific to your terms to help you succeed in both the world of music and business.

Post written by: Pete Blair

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This blog is intended to assist clients, colleagues and friends in their overall familiarity of the areas of practice and the services offered by Jamie Pruitt Law. This blog is for advertising purposes only and nothing contained herein should be considered legal advice. Each person or business has different circumstances and must be counseled individually. Reading information contained in this blog does not create a legal relationship with Jamie Pruitt Law and the information contained herein is protected by law.  Jamie Pruitt Law does not endorse any website contained in this blog and makes no guarantee or warranty regarding any website or the authenticity of such site.  Unauthorized copying, alteration, display or distribution of any material is prohibited.

Even though many are throwing around the dreaded "recession" word, and there is a lot of financial uncertainty right now, there are plenty of new businesses being formed.  For those who have an idea and are motivated to start a business, they should know they are not alone.  Many are choosing now to start companies and form businesses.

Most companies in the United States are considered small businesses.  This should be comforting to those who are thinking about starting their business since these new captains of industry will fall into this category as well.  The small business owner and entrepreneur are in the majority when it comes to business in the United States.  They are the backbone of the economy and are the ones who push innovation forward.  Google, Microsoft, Levi's, McDonald's and other companies that have become a part of our culture, and a large part of our economy, started out as small businesses. 

The reasons why businesses continue to be started during the hard economic times, and why now may be the time to start your business, are varied.  For some, it is because a reshuffling of the economy has left them looking for something new.  For others, they are tired of what they have been doing and are ready for a change.  There are still others who are just ready to be their own boss and not slave away for someone else.  These are just a few of the reasons why many are breaking out and starting a company.

A limiting factor for many wishing to start a business may be the daunting task of trying to finance their idea.  Don't make the mistake of letting this keep you from starting a business.  There are still many angel investors and venture capital firms that are investing in new start-ups.  The economy has impacted the amount of money that investors are willing to commit to start-ups, but they still believe in new companies and what they are trying to do.  The dot-com boom and bust taught many investors valuable lessons that make them smarter and savvier in how they invest.  It also taught them that investing in the ideas of others can be profitable and that this investment is the way to grow the economy. This translates into the ability for new businesses to get the capital they need to get their operation off the ground.  A jolt of capital can also help take an established business to the next level as they may be making the push toward eventually going public. 

The lesson to be learned is that even though many are shouting about the difficulties posed by the economy, there are still others who are quietly starting new companies and seeing success as they implement their ideas.  MyCorporation offers an affordable way to start a corporation or LLC so that you have a formalized organization to launch your business.  With other services like trademarks, DBAs, business licenses, and the compliance protection package called MyIncGuard, new businesses can be set-up for success.  Follow your entrepreneurial spirit and call us today.

For some new small business owners, personal liability and complex taxation issues may appear to be barriers to a dream.  However, with proper legal guidance and planning, you may find that the law has created safe havens for would-be entrepreneurs in the forms of Limited Liability Companies (LLC’s) and Subchapter S Corporations.

The Limited Liability Company is a relatively new form of business that may provide the limited liability benefits of a corporation, as well as the beneficial taxation and flexibility of a partnership.  An LLC is established at the state level, and with proper planning, tax foresight and legal counseling, it may be the best option for your small business.

An S Corporation is a specific tax election by a corporation subject to certain requirements.  An S Corp may not have to pay the taxes on the corporation’s gains or losses, and the income may pass through to the shareholders, who are then taxed on their personal returns. Consult an accountant to see if your corporation is eligible for an S Corp designation, potentially saving you from double taxation, while still protecting your personal assets.  There is typically a limit in the number of shareholders in order to obtain an S Corp designation and the corporation still has responsibility for Franchise Tax obligations.

As always, check with an attorney before entering this complex, yet manageable arena, and be sure to consider all possibilities before deciding on a business structure so that your first steps will lead you in the most rewarding direction.

Blog Post written by Matthew Wheeler

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This blog is intended to assist clients, colleagues and friends in their overall familiarity of the areas of practice and the services offered by Jamie Pruitt Law. This blog is for advertising purposes only and nothing contained herein should be considered legal advice. Each person or business has different circumstances and must be counseled individually. Reading information contained in this blog does not create a legal relationship with Jamie Pruitt Law and the information contained herein is protected by law. Unauthorized copying, alteration, display or distribution of any material is prohibited.

         At first, online legal services such as legalzoom.com, and legalhelpmate.com, seem like great tools for the cost-conscious, do-it-yourself small business owner.  There are a myriad of online services that allow business owners, entrepreneurs, and other individuals to create legal documents and corporate formation documents for businesses.  Services include trademark applications, patent applications, wills, and business incorporations.  But, in the long run, are these online services really cheaper?

The great thing about these online legal service providers is that you don’t have to graduate from law school or pass the bar exam to use these services.  These services can be effective for basic legal document creation, but are neither sources of legal advice nor do they offer recommendations or advise people on their legal rights.  Additionally, these sites take no legal responsibility for any document created: PERIOD!

If you are prepared to take the time to independently research the services that online legal service providers offer, and are aware that the only person held accountable for mistakes is yourself, then these online services might suffice for your needs.  However, if you wish to receive individualized legal advice, personal business counseling and insight from a legal professional, then you may wish to consult an attorney for assistance with your legal and business needs.

When you consult with an attorney, you are getting an entire package of experience, advice, and personal customer service.  An attorney can customize business documents to suit you and your business.  An attorney can save you the hassle of attempting to remedy a problem by yourself and usually is available for consultation at any time.  Yes, initially the services of an attorney cost more than self-help sites, but an attorney may save you long term costs and headaches. 

Simply put, you should consider all of your options before using online legal document services since the creation of certain legal documents are of the utmost importance to you and your business.

Post written by: Gina Franco

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This blog is intended to assist clients, colleagues and friends in their overall familiarity of the areas of practice and the services offered by Jamie Pruitt Law. This blog is for advertising purposes only and nothing contained herein should be considered legal advice. Each person or business has different circumstances and must be counseled individually. Reading information contained in this blog does not create a legal relationship with Jamie Pruitt Law and the information contained herein is protected by law.  Jamie Pruitt Law does not endorse any website contained in this blog and makes no guarantee or warranty regarding any website or the authenticity of such site.  Unauthorized copying, alteration, display or distribution of any material is prohibited.

Time to wrap this thing up.

The Skeptics

The internet, since its inception, has been criticized for its lack of credibility and rightly so; the internet and its predecessor has been a hotbed of piracy, copy write infringement, porn, and all things sinister and evil. Services such as Apple TV, Netflix, and iTunes have only been around for a few years and those services have only recently become widely accepted mediums for utilizing the internet as a legal source of media. The long and skinny of it is that the internet is still a very unrefined place - the wild wild west of our generation.

There is no clear model of how to generate revenue from the internet; although many have profited greatly from the internet thus far, those successes are few and far between and there are no clear answers why some have succeeded and others have failed miserably. Furthermore, there is no sign of what will and won't work in the future of the internet. We're all pulling at straws, hoping that something sticks and this is the very reason there are so many skeptics of web 2.0.

In the past, the most effective way to make money on the web was through banner ads. But banner ads have been just a piss poor attempt at digitizing traditional advertising formats, producing abysmal performance per dollar spend in comparison to their traditional counterparts. Furthermore, it's been argued that people don't want to be marketed to while online - that they want to get in and get out and move on while surfing the web. Others claim social-networking is superficial, too time consuming, dilutes your personal brand, and is no replacement for face to face contact

I can't help but think of Guy Kawasaki when discussing this topic because he seems to have been on the forefront of some of the trends brought on by the internet, if not create some trends, but I asked my business formation professor about what he thought of him (since he referenced him in one of his lecture notes) and my professor had one simple question: What successful ventures has he created or financed?

The question floored me to an extent, mostly because of the sheer simplicity of it. He had a way of cutting straight to the chase in his lecture style and he definitely delivered in this razor sharp questioning. He continued (and I'm paraphrasing here):

He [Guy Kawasaki] seems to have written some books on the subject of business formation and have had some success there, but be careful about what you read and really vet your sources because anyone can write anything they want, especially on the internet. Look into what they have actually accomplished and always take everything with a grain of salt.

Fairly basic advice, but for some reason it really resonated for me: So I asked myself "I like Guy Kawasaki, what ventures of his do I know of that have been wildly successful?" Well, I can't really say for sure. I can only assume his "Alignment of Interests" section on his blog indicates some of the ventures he's involved in and that his venture capital firm Garage Tech has a pretty impressive portfolio of companies listed (at least I'm impressed by the fact that one of my favorite finance sites, Motley Fool, is listed).

Like I said before, I came across an article in the WSJ about Penelope Trunk and through her blog found out about Guy Kawasaki, then alltop, then all kinds of super relevant and informative blogs and people like Zen Habits, Unclutterer, Life Hacker, Chris Brogan, Problogger and on and on. I kind of got so enthralled in all this new and intriguing information, I think I kind of lost a little bit of my analytical and usually skeptical approach to new or untested information. Once you start clicking through a lot of these links, you'll notice that a lot of information will end up getting reused and recycled in a flurry of almost circle jerk proportions - not necessarily a bad thing in its own right when the information is relevant, useful, and legitimate. But very dangerous when one blogger makes baseless claims that get substantiated by multiple bloggers who may find that stance convenient to what ever world view they promote. Copyblogger speaks to the "circle-jerk" nature of bloggrolling I'm referring to here as a barrier to success for social-media as a means of revenue generation.

One of my close friends is very much anti social-networking. The irony here is that he's a programmer who spent a significant amount of time in the bay area during the mid to late nineties who worked with a lot of start ups (even to the level of being the CTO for one). His gripe? He wants to spend less time on the internet not more. He shares the sentiments of social-networking being too much of a time commitment for little personal gain. He also argues that every time he logs onto what little sites he's a member of (a fairly infrequent occurrence), one site falls out of light in favor of another. There's really no keeping up with who uses what site and to what end, leaving you with a disconnected network of friends in different circles spread throughout the internet.

Look, I get it... I get that the "true" utility of social-media has yet to be defined, I get that no one wants to be pitched wares by their "friends" every time they log-in and check their messages, I get that legitimacy is in question every time you open google reader to check out what's happening in the your world, I really do. But look, there is a new landscape out there, and I'm not talking about technology, I'm talking about new attitudes to and expectations of the internet.

Web 1.0 didn't look any different from web 2.0 (well, maybe there were less annoyingly flashy websites in web 1.0), no one really knew what to do with it or what to think of it. We were still used to very limited sources of news and opinion at that time, and for that reason, those sources had to be highly scrutinized, editorialized, and legitimized through a systematic source of checks and balances. That process lead to a centralized monopoly of information providers simply out of the necessity to develop and maintain the resources needed to maintain the infrastructure of information. Web 2.0 isn't about new internet technologies, it's about new ways of generating and processing information, it's about new attitudes towards an open channel of information that democratizes our most precious asset - knowledge.

Sole Proprietorship:  A sole proprietorship is the most basic and least formal business entity.  A sole proprietorship is owned by one person, typically the person who will run the day to day activities of the business.  A sole proprietor has full control over his or her business, and the right to keep all profits earned (which are then reported on the individual’s personal tax return).  Sole proprietors are also liable for any and all debts incurred by the business and are personally liable for any potential lawsuits.  A sole proprietor would most likely have to use his or her personal assets to satisfy business debts.

General Partnership:  A general partnership is formed by two or more partners who share in the responsibility of operating and managing the business.  It is similar to a sole proprietorship in the areas of taxation and liability, and is most successfully governed by a partnership agreement.  Control and profits are typically divided equally, unless otherwise specified in the partnership agreement.

Limited Partnership (and Limited Liability Partnership):  As indicated by its name, the limited partnership differs from a general partnership with regard to the varying levels of investment, control, and liability. 

Limited Liability Company (LLC):  A limited liability company is a business structure that combines the tax benefits and structural flexibility of a partnership with the liability protection of the more complex corporate structure.  Organized by filing Articles of Organization with the state, an LLC is governed by an operating agreement, which is entered into by the members (or “owners”) of the LLC.

Corporation:  The most complex and formal business entity is a corporation.    A corporation is a separate legal entity that may outlive its founders.  Forming a corporation lends credibility to a business, creates permanence in a field and protects personal assets, as long as corporate formalities are followed.  A corporation is formed after filing its Article of Incorporation and is governed by corporate Bylaws.  Again, consult your accountant and attorney to see if a corporation is the right entity for you and your business.

Post written by:  Matthew Wheeler

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This blog is intended to assist clients, colleagues and friends in their overall familiarity of the areas of practice and the services offered by Jamie Pruitt Law. This blog is for advertising purposes only and nothing contained herein should be considered legal advice. Each person or business has different circumstances and must be counseled individually. Reading information contained in this blog does not create a legal relationship with Jamie Pruitt Law and the information contained herein is protected by law.  Jamie Pruitt Law does not endorse any website contained in this blog and makes no guarantee or warranty regarding any website or the authenticity of such site.  Unauthorized copying, alteration, display or distribution of any material is prohibited.

My name is Bradley Chapman and today is the 12th May and it is two weeks until my 38th Birthday. I am The Unknown Entrepreneur. I came up with the idea for and created Million Impossible against all the odds and also being bankrupt. I have given up everything to help UK Entrepreneurs unite together and create strength in numbers.

If all our members find the courage to talk to each other in a raw and honest state then we will all learn from each other. If they do not find the courage then we will not. I will face criticism and of course  I will be judged by many, but if my honesty helps Entrepreneurs then i will have succeeded.

During late 2006 and 2007 I went through what was the most painful time in my life with my finances and my personal life in tatters. I had two choices, either go back into the corporate world and take a six figure + job which would have resolved all of my problems or go into bankruptcy and be left with absolutely nothing owning just the clothes on my back.

I decided that enough was enough, that too many Entrepreneurs had failed because they did not have all the knowledge, skills and experience to make it through the challenging path to achieve success. I decided that if i could start with absolutely nothing and become successful once more that it would help other people who are in or have been in my position. Any one can go from Rags to riches even when you have nothing - this is my story!

At the age of 37 I started my life's dream of creating something that would help people in business and perhaps just perhaps help them in making their business journey just that bit easier. I was bankrupt and could not start or run my own company, so i gave my idea away to 5 investors who subsequently became the Board of Directors at Million Impossible.

I used all of my 37 years of knowledge and ability to pull together what is now www.millionimpossible.com. The idea was simple and that was - To build a web site that was honest, raw and open. A web site where entrepreneurs and people in business could talk, discuss, share and help each other. The more people that joined then the stronger we would all become. 

I hoped that Million Impossible's web site would develop very differently compared to the usual corporate happy clappy "Look at me" based networking Site's that currently exist. There was only one problem!

PEOPLE ARE JUST NOT COMFORTABLE TALKING ABOUT THE BAD THINGS THAT HAPPEN TO THEM.

I am going to share my Journey with you on the Unknown Entrepreneurs Blog. I am going to share with you what i had to do get Million Impossible off the ground. The restrictions and criticism that i face being a bankrupt. The slander and libelous comments that were made by a competitor who tried to stop Million Impossible going ahead. The insolvency people and how they viewed my involvement with Million Impossible as well as the personal challenges that i am facing every day and the courage, drive, belief, pain and innovation to get Million Impossible this far.

My initial thanks go to the wonderful investors and family who provided the money, the guidance, the faith and corporate structure to enable Million Impossible to be created in the first place- they are the board of directors.

There are also two very important people at Million Impossible who have been with the Board since the start- Heidi Weir and Colin Stroud.... You are my rocks of support.... I love you both and thank you! The road has been bumpy and we have made our fair share of mistake in forming the business. We have learned from our mistakes...We have a long way to go but just for one minute lets look back and see what we achieved in just 6 months.

We have created a Business and Entrepreneur networking website www.millionimpossible.com that is getting used more and more every day. We have built a FREE to advertise online business directory www.businesssourcer.com where all UK businesses can advertise free and we have also created www.numbersourcer.com which offers over 7 million searchable telecoms numbers for businesses starting from £99+ Vat for Life.

We have created something very special for all UK businesses in the short time that we have been live- Thank you both for all your hard work. You really are very special people indeed!

From today - I write in my blog as myself, I hope that you enjoy the reading it.

Regards and Best Wishes

Bradley Chapman
Entrepreneur

www.millionimpossible.com
www.bradleychapman.com
www.businesssourcer.com
www.numbersourcer.com
www.ukentrepreneurassociation.com