Business Incorporation & Organization at DVinfo.net

Christopher C. Murphy · September 2nd, 2004, 01:45 PM

This is a great, great topic. I have another question..

I'm getting ready to "LLC" (might be "C" or "S") my main business title of "Willow Studios". If I do that...will I need to also create a seperate "LLC" or other incorporated business entity for every single project? Or can I do a "subsidiary" of the company?

How does a large studio like "Dreamworks" produce a movie (and they are an LLC from what I've read) and not have to change their name everytime? Do they register a new name and "Dreamworks" distributes it?

Thanks!

Murph

Ken Tanaka · September 2nd, 2004, 02:31 PM

I split this off of a financing thread.
Be careful, Christopher.

A Limited Liability Corporation ("LLC") is just one form of organization for a business. Like other forms (ex: "Sub-chapter S", et.al.) it brings with it certain obligations for reporting and taxation, as well as certain implications for personal liability. Do not select a corporate organization form casually and do not select it because you've found a Web site that offers cheap LLC processing. It could really come back to bite you badly. Just like getting married casually, it can be very painful and expensive to change.

Once again I recommend that you get professional legal guidance on this matter. Don't get your guidance from someone's Web site or a bulletin board on a matter as important as this.

September 2nd, 2004, 01:45 PM	#1
Christopher C. Murphy Trustee Join Date: Sep 2003 Location: Boston, MA Posts: 1,707	This is a great, great topic. I have another question.. I'm getting ready to "LLC" (might be "C" or "S") my main business title of "Willow Studios". If I do that...will I need to also create a seperate "LLC" or other incorporated business entity for every single project? Or can I do a "subsidiary" of the company? How does a large studio like "Dreamworks" produce a movie (and they are an LLC from what I've read) and not have to change their name everytime? Do they register a new name and "Dreamworks" distributes it? Thanks! Murph __________________ Christopher C. Murphy Director, Producer, Writer

September 2nd, 2004, 02:31 PM	#2
Ken Tanaka Retired DV Info Net Almunus Join Date: Dec 2001 Location: Chicago, IL Posts: 6,943	I split this off of a financing thread. Be careful, Christopher. A Limited Liability Corporation ("LLC") is just one form of organization for a business. Like other forms (ex: "Sub-chapter S", et.al.) it brings with it certain obligations for reporting and taxation, as well as certain implications for personal liability. Do not select a corporate organization form casually and do not select it because you've found a Web site that offers cheap LLC processing. It could really come back to bite you badly. Just like getting married casually, it can be very painful and expensive to change. Once again I recommend that you get professional legal guidance on this matter. Don't get your guidance from someone's Web site or a bulletin board on a matter as important as this. __________________ Lady X Films: A lady with a boring wardrobe...and a global mission. Hey, you don't have enough stuff! Buy with confidence from our sponsors. Hand-picked as the best in the business...Really! See some of my work one frame at a time: www.KenTanaka.com