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socrateaser, Attorney
Category: Business Law
Satisfied Customers: 39043
Experience:  Retired (mostly)
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My friend and I are considering starting a LLC in our area,

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My friend and I are considering starting a LLC in our area, Salt Lake City, Ut. The bases of the company would be to provide in home entertainment such as dancers and escorts for bachelor parties for example. I have read up on the pros and cons of using a LLC vs. a Corp. I am just wondering if you can tell me what legal issues we may face while starting the company. I am not sure what Utah law is on adult entertainment businesses such as this and any information you can give me would be much appreciated.
Submitted: 8 years ago.
Category: Business Law
Expert:  socrateaser replied 8 years ago.

Utah Code secs. 59-7-101 through 108 impose a 10% tax on gross revenue, payable to the State.


There may be local ordinances that affect your rights, as well. See e.g., South Salt Lake City Code 5.59A.


There is also a high risk of injury to employees, and a risk of being sued by customers/clients, so additional liability insurance is probably a good idea.


As far as LLC vis-a-vis corporation, if you intend to maintain this venture as private business, then an LLC is far easier to manage, because you don't need to keep meeting minutes and memorialize every decision with a corporate resolution.


Hope this helps.


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