Hello everyone,
I have a small service business operating in the states of CA an PA with the parent llc is in PA. I have an opportunity to start operating in MD as a franchise, but looking through the requirements (both legal and financial) I came to the conclusion that I cannot afford going the franchise route just yet.
The MD office will be responsible for creating new business in the area, we will provide the actual service, project management, billing, online marketing and SEO, 24/7 phone answering, website, emails alongside other things. We will charge the MD office a percentage on sales in addition to monthly fees to cover expenses.
My current options are:
- Franchising (expensive and not my first choice at the moment)
- Foreign qualify my PA llc to do business in MD where I will maintain ownership (and liability) and assign my potential partner as an office manager as a contractor (1099) - (also not first choice since the partner will not have much control, liability will be higher and charging expenses will be tough)
- Create a new llc in MD where the potential partner will own and allow them to use my company's name (as DBA maybe?) - currently my number one choice since partner will have more control, I will have more control over the business name, less liability for me and overall best financial fit.
I would like some advice on the overall setup and whether I can allow another company to use my business name as their own or not and how to do so.
Much appreciated,
Jake
I have a small service business operating in the states of CA an PA with the parent llc is in PA. I have an opportunity to start operating in MD as a franchise, but looking through the requirements (both legal and financial) I came to the conclusion that I cannot afford going the franchise route just yet.
The MD office will be responsible for creating new business in the area, we will provide the actual service, project management, billing, online marketing and SEO, 24/7 phone answering, website, emails alongside other things. We will charge the MD office a percentage on sales in addition to monthly fees to cover expenses.
My current options are:
- Franchising (expensive and not my first choice at the moment)
- Foreign qualify my PA llc to do business in MD where I will maintain ownership (and liability) and assign my potential partner as an office manager as a contractor (1099) - (also not first choice since the partner will not have much control, liability will be higher and charging expenses will be tough)
- Create a new llc in MD where the potential partner will own and allow them to use my company's name (as DBA maybe?) - currently my number one choice since partner will have more control, I will have more control over the business name, less liability for me and overall best financial fit.
I would like some advice on the overall setup and whether I can allow another company to use my business name as their own or not and how to do so.
Much appreciated,
Jake