Understanding Sole Proprietorship and Related Business Terms in Nevada

A single individual owns and runs a sole proprietorship, which is a type of business structure. The owner’s assets, obligations, and legal identity are all identical to those of the company. This implies that the owner is personally liable for the financial responsibilities and legal liabilities of the company. Small businesses frequently operate as sole proprietorships because they are simple to establish, run, and dissolve. A single owner, however, is a natural person and not a legal entity like a corporation or LLC, which is something that must be kept in mind.

You must register your business name with the Nevada Secretary of State if you intend to launch a business in Las Vegas. The “doing business as” procedure, or DBA, is used to do this. A DBA is a business name registration that differs from the owner’s legal name. John Smith would need to submit a DBA registration if he wanted to run a business under the name “John’s Pizza” rather than “John Smith’s Pizza,” for instance. There is a $25 cost for this process, which can be completed online or by mail.

The act of conducting any form of business within the state, including the sale of goods or services, the hiring of personnel, or the leasing of real estate, is referred to as “doing business” in Nevada. Depending on the type of your business, you as a sole proprietor must obtain any required licenses and permits for it, such as a business license, sales tax permit, or health department permit. Penalties or legal action may be taken if these requirements are not followed.

Creating a Series With an LLC, a special kind of limited liability corporation, you can establish different “series” of the firm, each with its own assets, liabilities, and members. This means that the other series are shielded from responsibility if one series accrues debts or runs into legal problems. Series LLCs are permitted in Nevada but are not available in all states. To ascertain whether a Series LLC is the best choice for your company’s purposes, it is crucial to speak with a business attorney.

A natural person who owns and runs a business is referred to as a lone proprietor. A DBA registration must be submitted to the Nevada Secretary of State in order to register a business name in Las Vegas. In order to conduct business in Nevada, one must adhere to all necessary licenses and permissions. Creating separate series of an LLC with their own assets and liabilities is possible by establishing a Series LLC. When thinking about various business arrangements, it’s crucial to have expert counsel.