Inventors and Patents
Are you sensitive to keeping your creative ideas private and safe from prying eyes? It’s a known fact that protecting trade secrets or proprietary technology from competitors or spies is essential to financial success.
For decades the way to do this is use a corporation or LLC. But just like your ideas, so has the mechanism for privacy because the internet changed everything overnight. However, few are fully aware of the consequences.
No longer is your corporation or LLC confidential from outsiders. Anyone online can find you.
You now must address the risk of Secretary of State fraud and hackers stealing your password. Overnight you can be replaced as the LLC manager. Much later you might discover this fact. Meanwhile the Secretary of State disavows any responsibility. Just look at the disclaimers on their websites about business identity theft.
Aside from the privacy factor you have franchise taxes and endless paperwork to comply with bureaucratic regulations. Remember you must ask for ‘permission’ from the state to get a charter.
States such as Nevada and Wyoming promote their lack of reporting disclosures. But any type of business filing starts the breadcrumb trail back to you.
Congress and the Senate both have pending bills that will require photo id for all LLC members or Corporation stockholders. As written now, failure to provide this info is subject to $10k fines and criminal charges. No matter its final form, your personal details are going to be in another government database.
There’s a better solution – use a Business Trust
In most states there is NO registration required for a Business Trust. It is totally invisible to outsiders. There is nothing to find on a google search.
Use this trust organization to hold title to your creative ideas. Your inventions are owned by the anonymous business trust. The same for intellectual property or patents.
You get an EIN and business bank account. You also get multiple tax classifications.
If you’re thinking of using a corporation or LLC for privacy, think again. It no longer works like it used to. The only solution today is a business trust. No other title holding instrument can give you the privacy and anonymity. Check it out.
Another strategy is to use a Corporation or LLC as your front-line business organization. Then use a business trust to own the technology.