Frequently asked questions about ekonomi & juridik

Monthly bookkeeping for a small company costs $200–600. Add payroll at roughly $30–100 a month plus $5–15 per employee. The business tax return is usually quoted separately at $800–3,000, more for a multi-state filing, and cleanup of a neglected year is billed on top.

Most small private companies never need one. Audits get triggered by outside requirements rather than size alone: a bank covenant, an investor, a franchise agreement, a government contract or a 401(k) plan above 100 participants. A review or compilation costs far less than a full audit and often satisfies a lender.

A general business attorney charges $250–500 an hour, and specialists in M&A, IP or tax $500–900. Many firms now sell fixed-fee packages — formation documents, a contract template set plus a consultation — from $500. Ask whether paralegal time is billed at a lower rate for routine drafting.

An LLC separates personal and business liability and is cheap to run. Electing S-corp taxation starts paying off around $60,000–80,000 of profit, when the payroll tax saving on distributions outweighs the cost of running payroll and filing a separate return. State fees vary widely — California's franchise tax alone is $800 a year.

Federal corporate tax is 21% for C-corps. LLCs, partnerships and S-corps pass profit through to the owners' personal returns, where it meets ordinary income rates plus self-employment tax of 15.3% on the portion treated as wages. State income and franchise taxes stack on top and differ enormously. Ask an accountant to model salary versus distributions before you set your pay.

A clear contract prevents most disputes. Nail down the parties, scope, price and payment terms, delivery and acceptance, liability caps and warranty, IP ownership, confidentiality, termination, and the governing state law and venue. Decide deliberately whether to require arbitration. For anything above $50,000, have a lawyer review it.

Bookkeepers record transactions, reconcile accounts and run invoicing and payroll. Accountants close the year, file returns and advise on structure and planning. Only a CPA, an IRS enrolled agent or an attorney can represent you in an IRS audit, so check the credential and verify the CPA license on your state board's site.

Sales tax is state and local, and you register wherever you have nexus — a physical presence, employees, inventory in a warehouse, or economic nexus, commonly $100,000 of in-state sales though thresholds and rules differ by state. Services are taxable in some states and not others. Selling on multiple marketplaces makes this worth automating early.

General liability is the baseline, plus professional liability for advisory work and commercial auto if anyone drives for the business. Workers' compensation is mandatory in nearly every state as soon as you hire, and penalties for going without it are severe. Add cyber coverage once you hold customer data, and an umbrella policy when contracts demand higher limits.

Put payment terms and a late fee in the contract, invoice promptly and chase on a fixed schedule. State law caps how much interest you can charge, so check yours before writing 5% a month into a contract. Small claims court handles modest sums cheaply, and contractors on construction work have mechanic's lien rights with strict filing deadlines.