Legal Question in Business Law in California

Hi, I want to establish an LLC where my partner will be a Spanish Based Corporation. We will have 50% each. Can a foreign company partner up with me? What documents would we both need to show? What would be the differences of establishing the LLC in California or Nevada?

Thank you very much for your time

Asked on 10/01/13, 4:02 pm

2 Answers from Attorneys

Bruce Beal Beal Business Law
0 users found helpful
0 attorneys agreed

Yes, a foreign company may be a partner in an LLC. I would recommend that the foreign company seek international tax advice before doing so. You wouldn't need any documents other than the Articles of Organization to file with the State. You should file where you are doing business. If you file in Nevada for tax purposes, for example, but you do business in California, you will also have to register in California, which would double up your costs and administration.

Read more
10/01/13, 4:25 pm
Frank Natoli Natoli-Lapin, LLC
0 users found helpful
0 attorneys agreed

I concur with my colleague. You are free to "domicile" the entity wherever you wish, but if one of the members reside in CA or if any of the business activity takes place in CA you will have to register there and will be captured by their tax regime. So there may not be any good or practical reason to form in NV.

While a non-resident is free to be a member of this entity by virtue of being so does not entitle him to visit, reside or work in the US. This is an immigration issue and you would have to explore the proper visa requirements. Further, the US Dept of Commerce requires a informational survey to be completed anytime a US entity is created holding 10% or greater foreign ownership. Assuming you do not exceed the income threshold of 30 mil per year I believe there is no other compliance required. You can look online for the form and instructions it is called BE-605.

If you would like to discuss further over a free phone consult, feel free to contact me anytime that is convenient.

Kind regards,

Frank

www.LanternLegal.com

866-871-8655

frank@lanternlegal.com

DISCLAIMER: this is not intended to be specific legal advice and should not be relied upon as such. No attorney-client relationship is formed on the basis

Read more
10/02/13, 7:33 am

Related Questions & Answers

More Business Law questions and answers in California

Looking for something else?

Get Free Legal Advice

88283 active attorneys ready to answer your legal questions today.

Business Law Legal Forms

Browse and download our attorney-prepared and up-to-date legal forms from $4.99

Find a Legal Form

Featured Attorneys

Anthony RoachLaw Office of Anthony A. RoachChatsworth, CA
Timothy McCormickLibris Solutions - Dispute Resolution ServicesSan Francisco, CA
Michael E. HendricksonAttorney & Counsellor at LawAlexandria,
Find An Attorney

Are you an Attorney?

Earn additional revenue and grow your business. Join LawGuru Now