Starting a company where the business model is to build local chapters with members

Our company will support local chapters to form and members will pay national dues (to our company) and local dues (to the local chapter). What legal structure should be in place to protect our members, the local chapters, and our organization? Do we need any type of insurance? (Local chapters will have local meetings, create networking events, and do collective marketing.)

Asked on May 25, 2009 under Business Law, California

Answers:

MD, Member, California Bar / FreeAdvice Contributing Attorney

Answered 11 years ago | Contributor

No one would be able to give you that information strictly from this brief description, unfortunately.  What type of business? Is this a service, are you selling goods? What are you doing? I don't understand.  You need to hire a business lawyer in California to determine what form (non profit, for profit, corporation, llc, sole proprietorship, etc.).

Try www.attorneypages.com and then check his or her disciplinary record at www.calbar.ca.gov under attorney search.  Your attorney will help you determine structure, legal and otherwise, the insurance you need, etc.


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