When readers pick up a book by Garrett Sutton, they can be sure of two things: One, that the information will be complete, accurate and thorough; and two, that the information will be understandable and applicable. As an author, Sutton is patient with his readers; he presents every angle within a topic. When you think you must know everything there is to know, Sutton gives more. He breaks down the information in a way that is unintimidating and easy to understand. The case studies he offers give his books real world examples of how to apply the book’s information into a real world scenario.
In “How to Use Limited Liability Companies and Limited Partnerships,” Sutton teaches readers how to enter into an LLC or LP, or when not to create an LLC or LP, and how to manage best practices to succeed. He describes many case studies to demonstrate how to use the information to create and maintain a business. In particular, Case Numbers 1 and 2 are continued throughout the book, letting readers follow an LLC and LP as the business owners form and manage the entity, file taxes, plan their estate, and consider real estate holdings.
Although the book is specifically about LLCs and LPs, and these encompass the majority of the text, Sutton does include information about types of corporations as well. His understanding of multiple types of businesses allows readers to compare and contrast, and make more educated decisions themselves about forming a business. After reading Sutton’s book, any person should be able to walk into their professional advisor’s office and have an educated conversation. In fact, Sutton states early in his book that his goal is not to teach people how to run all aspects of their business, but rather how to ask important questions and work more congruently with their professional advisor. “You don’t need to be spending your weekends learning the arcania of the recapture rules for depreciable assets,” he writes. Sutton’s book is about making better decisions, and any reader after closing the last page should have a better understanding about which company to choose to best suit their goals.
Because it’s not enough to know simply how to form an LLC or LP, Sutton gives plenty of advice for running one of these businesses as well. He includes topics to protect readers from the IRS, unscrupulous would-be collectors, and sometimes moody court systems. His chapters review filing taxes, separation of the individual from the business entity, and best practices to prevent “piercing the corporate veil.”
As Sutton states, LLCs and LPs are among the two most powerful and popular business entities available today. Being fairly new, however, means even courts aren’t really sure how to manage them, and states often end up with very different interpretations of what an LLC or LP can and can’t be. Thankfully, anyone who has pursued the pages of Sutton’s book can feel confident entering into the LLC or LP world, and succeed.