Virginia residents thinking about new business ventures may wonder about the impact of the form that they choose on their personal finances. During business formation, establishing a separate entity may be important to ensure that one's personal financial life is separated from a business. An LLC allows this separation to occur so that personal assets can be protected. However, it is important to note that the IRS doesn't have separate tax returns for this type of business designation. Instead, an LLC may be treated as a sole proprietorship, a partnership or as an S or C corporation. At the state level, there may be forms to file.
Formation of an LLC and tax implications
FN Manufacturing and FNH USA to merge
FNH USA, a Virginia company, will be merging with FN Manufacturing to create a new entity known as FN America. This should end some of the confusion that has existed about the two separate companies and their names. The planned merger was announced May 6 by the chief executive officer of Herstal Group, the Belgium company that owns the American side of Fabrique Nationale. Although the two companies will now be merged into one, their production side will remain in Columbia, South Carolina, and their business and management side will remain in McLean, Virginia.
Virginia businesses have a choice of structures
Businesses frequently find themselves in a situation where they need to add partners. Sometimes it is because the prospective partner brings a particular skill set. At other times, partners are needed who will invest funds into the business. When a business is considering the addition of partners, it is extremely important to have the right business structure in place.
To stay successful, a pivot may be required
Virginia business owners may be interested in knowing what to do if they need to change the direction of their businesses. Sometimes a business may start out strong, but over time, with gained experience and changing market conditions, it may be necessary to adjust or lean the business in a slightly different direction in order to stay successful.
Virginia governor's race may be affected by green tech fallout
Virginia voters may have to consider an extra wrinkle in the state's gubernatorial race, as a green auto manufacturing firm scaled back production plans. Terry McAuliffe is running for governor in Virginia, but the Mississippi auto plant's business formation was followed only by disappointments. McAuliffe was chairman of the firm when it received a donation of 100 acres worth $1.8 million by a Mississippi development foundation, as well as a $3 million loan for site preparation from the state.
Forming an intellectual property plan
As people in Virginia know, for thousands of years, business leverage has been based on brute strength as well as the quantity and quality of available raw materials. Human muscle power built the pyramids of Egypt and Roman aqueducts. Oxen and draft horses towed barges and moved mills. With the Industrial Revolution machines started doing the work, but the game was still mostly about size, power and strength. The company with the biggest factories and quickest ships usually won.
New jobs to be created by lozenge company
A new lozenge company will open distribution operations and headquarters in Danville, Virginia, a move that is expected to create about 150 jobs over the next three years. The business formation by AllergEase is predicted to ease unemployment in both Guilford and Rockingham County, where the unemployment rate is currently 11.3 percent.
Richard L. Downey