In a recent episode of the Multifamily Insights podcast, business attorney Jonathan Feniak from LLCAttorney.com sheds light on the common legal mistakes that entrepreneurs make when forming and managing LLCs. With a background in logistics, finance, and law, Feniak offers practical advice to business owners on how to avoid costly missteps and effectively protect their assets.
During the episode, Feniak emphasizes that while forming an LLC is an essential step, it is just the beginning of safeguarding a business. Many entrepreneurs neglect the importance of maintaining corporate formalities, such as holding regular meetings, documenting decisions, and separating personal and business finances. “Without these basic protections in place, your LLC could be nothing more than a paper shield, leaving you exposed to personal liability,” he warns.
Feniak also highlights the advantages of forming holding companies in Wyoming. Known for its strong asset protection laws, Wyoming offers privacy and charging order protection that can safeguard assets from lawsuits. “Wyoming provides unparalleled privacy and charging order protection, making it a powerful choice for entrepreneurs who want to safeguard their assets from potential lawsuits,” he explains.
When it comes to estate planning, Feniak advises revisiting plans every five years or after significant life changes. By combining a revocable living trust with an LLC holding company, entrepreneurs can streamline the transfer of assets to heirs and avoid the complexities of probate. “It’s about making sure your assets pass smoothly to the next generation without unnecessary complications,” Feniak adds.
Finally, Feniak cautions against overly complex and expensive legal structures that are often promoted by some service providers. “There’s a lot of hype around offshore trusts and multi-layered LLCs, but they’re often unnecessary for the average investor. Keep it simple, scale appropriately, and only build what you need to protect your assets,” he advises.
For more insights, listen to the full Multifamily Insights episode on Apple Podcasts: https://podcasts.apple.com/us/podcast/dont-make-these-legal-mistakes-with-jonathan-feniak-ep-713/id1269346577?i=1000708728195
About Jonathan Feniak
Lead Attorney Jonathan Feniak is a driving force behind LLCAttorney.com, where he brings his extensive experience and a refreshingly approachable style to the legal needs of business owners and individuals. Personally licensed in Colorado and Wyoming, Jonathan specializes in asset protection, estate planning, and business formation, with a commitment to empowering clients with practical legal strategies that safeguard their interests and set them up for long-term success.
Jonathan’s journey to law is as diverse as it is inspiring. Before becoming an attorney, he led operations for DHL in Manhattan, overseeing thousands of daily deliveries during the high-stakes environment of post-9/11. He then transitioned to financial services, honing his expertise in deal structuring and asset management with Wells Fargo Advisors and boutique investment firms.
Motivated by a passion for accessibility, Jonathan launched his legal career with a mission: to provide business owners with affordable, top-tier legal guidance that doesn’t require the overhead of a full-time retainer. From entrepreneurs building startups to activists protecting their causes, Jonathan is a trusted partner in navigating the complexities of the legal landscape.
Jonathan’s hands-on experience includes roles at the legal tech startup Term Scout and the law firm Lewis, Bess, Williams & Weese. His blend of business acumen, operational insight, and legal expertise makes him a sought-after resource for clients across industries.
