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Accounting is an essential part of any business, as it helps to keep track of finances and ensure that a business is profitable. Two of the most common methods of accounting are the cash method and the accrual method. These are sometimes called cash basis accounting or accrual basis accounting. While both methods have their benefits and drawbacks, it's important to understand the differences between them in order to choose the best method for your business. Additionally, the type of entity that you have can dictate which method of accounting you are allowed to use.

This is part five of our series, Start an LLC with Me. So far, we’ve started a Delaware LLC, gotten an EIN number, opened a business bank account, and gotten a business license.

For many business owners, all the official parts of the setup process are complete! These days it’s common to have a website and social media accounts for a business before it’s official. You may have already set up a few of these things (my partner and I had before we officially started our LLC).

Let’s look at some of the most important unofficial parts of setting up your business.

This is the fourth post in our series Start an LLC with Me. In our first post, readers came along as I officially formed an LLC. I then got an EIN number (and shared step-by-step instructions) and opened a business bank account. Next up: getting a business license.

Business licensing is probably the least straightforward of the steps to opening a business. This is because business licensing varies greatly by location. In some jurisdictions or industries, you may not need a business license at all. In others, you may need one at the federal, state, county, and city level.

Welcome to part three of our series, Start an LLC with Me. If you missed it, in part one I walked you through how to start a Delaware LLC, step-by-step. In part two, we went over how to apply for an EIN number with the IRS.

Today we're heading on to the next step most LLC's take: opening a business bank account. 

This is part two of our series, Start an LLC with Me. In this series we're walking you through each step to setting up an LLC and becoming a fully operational small business. Read part one here. 

If you recall from our first post of the series, my friend and I started a small business that began to make money. My accountant advised us to form an LLC for tax purposes. We officially formed an LLC with The Incorporators and received all the documentation we need to move forward with setting up other elements of our business.

Today we’re beginning a series to walk new business owners through all the initial steps to form a Delaware LLC and get their business up and running.

Like many people, the pandemic has given me time to explore my strengths and hobbies from home. A fun side project I was doing with a friend has begun to make money and my accountant advised us to start an LLC.

How Long is a Certificate of Good Standing Good for?

All certificates of good standing may be validated at the Delaware Division of Corporations ink found here for one year from issuance. This means that the requesting party can confirm that it is a legitimate certificate, not a forgery. The date on the certificate means that as of the date of issuance...

What is an Operating Agreement?

The operating agreement is the document that sets forth how your LLC will run. This document outlines several important elements of your LLC including:

• Basic details of the LLC including the name, purpose, and address
• The roles and responsibilities of members and managers
• Ownership percentage and initial contribution of members
• Profit and loss management plans

If you have a Delaware corporation or are considering forming a corporation in Delaware, annual corporate franchise taxes and report filing will be a pivotal part of maintaining corporate compliance and keeping your entity in good standing.  

Today we're answering all of the most common questions about Delaware corporate franchise taxes. 

It has been a challenging year, particularly for many small businesses. According to the US Chamber of Commerce, "Only four in 10 (40%) of all small business owners believe their business can continue to operate indefinitely without having to shut down permanently."   

If it's time to say goodbye to your business, we can help you close up shop so that you're not accruing taxes in to 2021.

What is Foreign Qualification?

Foreign Qualification is the process of registering a business in a state other than the state it was originally formed in. An entity may do this when they conduct business in multiple states or because they, for tax reasons, have formed their company in a state other than their home state. 

When You Need Foreign Qualification

One of the most common documents that companies need periodically after they form their entity is a certificate of good standing.

All states offer some form of a certificate of good standing, sometimes called a certificate of status, status certificate, certificate of existence, or certificate of authorization. They are typically issued by the Secretary of State in the state where...