Legal Question in Business Law in Massachusetts


I am sole propriator and I am planning to move to the different state. Also, I would like to start same type of business in new location. Should I close my business before I move? is it allowed by law to ran sole propriatorship in two states at least for a while?

with regards,


Asked on 9/21/10, 3:23 am

2 Answers from Attorneys

You can operate a sole proprietorship in two states so long as you have complied with the local business law requirements. One problem is that Sole Proprietor's do not have registered agents. If you intend to operate the two sites permanently or indefinitely, I would suggest you form a Limited Liability Company. It will not only give you some limited liability from claims of third parties, but it will allow you to register your business in two states and you will still be able to file the profit and loss as a schedule C on your tax return.

Please feel free to contact me if you have more questions.

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Answered on 9/26/10, 10:07 am
henry lebensbaum Law Offices of Henry Lebensbaum (978-749-3606)

There is no conflict. The issue as raised is how you protect your business.

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Answered on 9/26/10, 12:17 pm

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