Looking to incorporate and need advice

[kmapro]

What is the name of your state? Georgia

Hi -

I am in the process of starting a business that will cover several areas of home construction.

My two main functions as a business (in the beginning) will be residential design and home construction. As a designer, I plan to offer design/build services or flat rate design services. As a builder, I plan to build custom homes as well as spec homes.

The secondary function of this business will be to provide landscape services. After I build enough to justify the purchase of machinery.

My first order of business will be to obtain a loan to finance a spec home.

I am looking to incorporate so that my personal assets are protected. In the unlikely event that my plans do not execute as planned, I do not want my house, cars or my personal credit record tampered with. I view this as a safety net only - not something I plan for.

I am all confused with the types of "corporations" available and would like some advice as to which type would suit me best.

I do not plan on making any stock available for public trading, so I looked at a "Close Corporation", but I am not sure what all it is...

Is it necessary for me to incorporate? Is there a way that I can run my business and not have my personal assets surfaced for all to see?

I know this is a board of lawyers and/or legally intellectual individuals, so I sk this next question rather hesitantly:

Would one of these on-line corp filers be a good option? Would they be legal corps?

Understand that I am working with limited capital to start with, so I am trying to get this business off the ground with the least amount of cash output.

Thanks in advance...

 

[bluefox1081]

You'd probably want to look into setting up an LLC. That seems to be the best option for your situation. As for setting one up, I'm at that point too. Try to contact an attorney and see what he/she says. Not too familiar with setting one up online though.

 

[kmapro]

Thanks - that is what I have started thinking here lately as well.

I just want to make sure that my personal posessions are protected from anything that the business does. I know that I am ultimately responsible, but I do not wish to put my families well being in behind bad judgement.

Next question - If I apply for the loan under the business name before it is incorporated and then incorporate the business after the loan is in place (closed and using to build) - am I protected by the LLC now or will it revert to the original "signer"?