Our attorneys provide assistance to businesses in a wide array of legal issues, ranging from business formation and acquisitions to contract drafting and negotiation. The business and contract attorneys at Pratt, Mong & Lee are ready to help you with your legal issue.

Business Formation

Starting a business and choosing a proper structure can be a difficult task which depends on your various needs. Let us alleviate the process by helping you choose the best business structure that suits your vision and fulfills your requirements.

Types of Business Structures 

In Texas, you have the option of creating a sole proprietorship, general partnership, corporation, limited liability company, limited partnership or limited liability partnership. The right business structure could make a significant difference to business owners in terms of taxation, exposure to personal liability for business debts, and the ease of transferring, selling or changing the business.

• A sole proprietorship is owned by a single individual. There is no need for formal organization, but an assumed name certificate should still be filed with the office of the county clerk if using an assumed name. A general partnership is created by two or more individuals to carry on the business for profit. General partnerships generally follow a partnership agreement, but no agreement in writing is required.
• A corporation is a legal entity with limited liability, centralized management, perpetual duration and ease of transferability of ownership interests. A limited liability company is an entity that has similarities to both a corporation and a partnership. Depending on how the LLC is structured, it may be compared to either a general partnership with limited liability or to a limited partnership where owners all have limited liability. Owners of an LLC are referred to as members, and can be individuals, partnerships, corporations, trusts or any other legal or commercial entity. Liability of members is generally limited to their investment and they also receive favorable tax treatment.
• A limited partnership is formed by two or more individuals and consists of one or more general partners and one or more limited partners. The general partners have control of the day to day operations and control of the limited partnership and other matters as set forth in a Limited Partnership Agreement. While the Agreement is not required to be filed for public record, the LP must still file a certificate of formation with the Texas Secretary of State.
• A general or limited partnership may decide to register as a limited liability partnership. An LLP provides its general partners with personal liability and are popular with certain professionals. An LLP protects partners from debts against the partnership arising from claims against another partner.

Please note that the descriptions of these business structures are condensed. They do not cover all aspects of each structure, and are intended for informational purposes only. Please contact us if you have a more detailed question and need assistance.

Contract Law

A well written contract can help to insure your business achieves the results that it expects, and help to avoid future legal problems and expenses through proper planning. We can assist you with the drafting, negotiation, and review of all types of contracts, whether commercial or private including:

• Purchases or sales of goods or services
• Business mergers, sales, or acquisitions
• Partnership agreements
• Employment agreements
• Purchases or sales of equipment and facilities
• Credit agreements
• Sales commission agreements
• Licenses of copyright or trademarks

If you need assistance in writing, negotiating or reviewing a proposed contract, please contact us today.