How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask RGMacEsq Your Own Question
RGMacEsq
RGMacEsq, Attorney
Category: Business Law
Satisfied Customers: 16114
Experience:  Licensed Texas General Practice Attorney
19487448
Type Your Business Law Question Here...
RGMacEsq is online now
A new question is answered every 9 seconds

I have a LLC in Colorado that I have been using IT

Customer Question

I have a LLC in Colorado that I have been using for my IT consulting. Can I add a ride-sharing business to this same LLC or do i have to start a new one?
Submitted: 9 months ago.
Category: Business Law
Expert:  RGMacEsq replied 9 months ago.

Thank you for using JustAnswer.

So long as your articles of formation / organization / bylaws do not preclude this or otherwise limit you to IT consulting, there's nothing that would forbid you from adding a ride-sharing business. The main considerations are liability and potential for "veil piercing". Liability is an issue because any of the assets of your LLC would be potentially at risk for any liability you incur in the LLC. So if there's a claim against your IT consulting side, they can go after the ride sharing assets, and vice versa. Keeping two LLCs would limit liability from one business to the assets of that business, and segregated from the assets of the other business.

The other consideration is that it could make piercing the veil (removing the limited liability of that and making it possible to go after your personal assets) more possible, because someone could argue that these two types of businesses are not really compatible with each other, and as such it's more likely that you're simply operating them with the LLC under an "alter ego". It would still be the burden of proof of the person alleging that to establish it, but it does make it more possible. The probability increase could be small (it's just one factor among many considered in a piercing-the-veil argument) but again, it does increase the possibility that this could happen, so it's a consideration. You'd just need to be that much more careful in keeping LLC assets segregated from your own, bank accounts separate, corporate records diligently kept, etc...

Hope that clears things up a bit. If you have any other questions, please let me know. If not, and you have not yet, please rate my answer AND press the "submit" button, if applicable. Please note that I don't get any credit for the time and effort that I spent on this answer unless and until you rate it positively (3 or more stars). Thank you, ***** ***** luck to you!

Expert:  RGMacEsq replied 9 months ago.

Did you have any other questions before you rate this answer?

Expert:  RGMacEsq replied 9 months ago.

Are you there? Please note that I am still here, awaiting your response or rating... (please note that rating closes this question out, so if there's nothing else, please rate it so that I can assist other customers that are waiting for answers to their questions)

Expert:  RGMacEsq replied 9 months ago.

Should I continue to await your response, or may I assist the other customers that are waiting?

Expert:  RGMacEsq replied 9 months ago.

My apologies, but I must assist the other customers that are waiting. If there's nothing else, please rate this answer. Please note that I don't get any credit for the time and effort that I spent on this answer unless and until you rate it 3 or more stars (good or better) AND press the "submit" button, if applicable. If you feel that I have gone above and beyond in this answer (my average answer is about 10 minutes) bonuses are greatly appreciated. Thank you, ***** ***** luck to you!

▼ RATING REQUIRED! ▼ Please don't forget to Rate my service positively. It's only after you rate that I am credited.

Expert:  RGMacEsq replied 9 months ago.

Hello?

Expert:  RGMacEsq replied 9 months ago.

I see that you have not responded in some time. Please note that this question is still open until you rate it. I believe that I have answered your question, but if you have any other questions, please let me know. If not, and you have not yet, please rate my answer AND press the "submit" button, if applicable. Please note that I don't get any credit for the time and effort that I spent on this answer unless and until you rate it positively (3 or more stars). Look for the stars on your screen (★★★★★). Thank you, ***** ***** luck to you!

Expert:  RGMacEsq replied 9 months ago.

Again, please note that I am waiting for your response or rating... Can you see my responses?

Expert:  RGMacEsq replied 9 months ago.

I see that you STILL have not responded in some time. Please note that this question is still open until you rate it. I believe that I have answered your question, but if you have any other questions, please let me know. If not, and you have not yet, please rate my answer AND press the "submit" button, if applicable. Please note that I don't get any credit for the time and effort that I spent on this answer unless and until you rate it positively (3 or more stars). Look for the stars on your screen (★★★★★). Thank you, ***** ***** luck to you!