The limited liability company option gives the small business owner a great tool for reducing both taxes and legal liability. But the LLC setup process for professionals (doctors, lawyers and so forth) sometimes gets tricky. To ease and expedite the setup process, try the following five tips:Tip #1: Verify Your Profession Needs (and Can Form) a Professional Limited Liability CompanyState law determines whether individuals and firms practicing your particular profession in your state can form a limited liability company, or LLC.State law also determines whether people in your profession need to form a regular limited liability company or a professional limited liability company.Accordingly, the first step in forming an LLC is to determine whether you even can form a limited liability company and (if you can) whether you need to form regular LLC or professional LLC.Call the state agency or affiliated organization that grants your professional license to make this determination. For example, if you’re an attorney, you probably call the state bar association. And if you’re a certified public accountant, you probably call the state board of accountancy.Note: You can also look at what other professionals–doctors, dentists, and so forth–in your state do. But be careful about assuming that […]

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