If you have developed a concept for a new business, you might be very excited to get it off the ground. When determining what business structure you would like to use, there will be many things you should consider and understand. Taxation, management and decision making will be some factors that may influence how you establish your new company. You will also want to understand how you will be paid as that may differ based upon the company structure you decide upon.
LLCs and sole or joint members
You may establish a limited liability company with yourself as the sole owner, or member as it is called with an LLC. You may also establish an LLC in conjunction with one or more other joint members. As explained by Forbes, if you have multiple members, you will need to outline what share of the business each member has. You may have equal shares or varying shares.
Earnings from an LLC
If you are the only member in an LLC, you may receive earnings via a check or transfer from the business bank account to your personal bank account. LLCs with multiple members must establish accounts that detail the shares each person has and all financial transactions, including draws. These draws may normally be via a check from the business bank account to the individual bank account.
This information is not intended to provide legal advice but is instead meant to provide entrepreneurs in New York an overview on how they may earn an income if they establish a new business as a limited liability company with one member as the sole owner or with more than one member as joint owners.