Web Hosting Talk







View Full Version : Proper titles for partners?


Derek
10-06-2004, 05:40 PM
I know this is not the most important aspect of a company, and it won't be treated as such, it is just always nice to have the organization already established in a company. My partner and I are establishing a reseller hosting company and will be registering it as an LLC. For partners, what would the proper titles be that you would suggest?

I ask because I know of CEO, President, Director, etc... but don't know which of these fit. As far as I know, CEO is only reserved for an incorporation which is not an LLC. What kind of a title would be equal to President? What is the difference between a Director of Operations and a President?

All help would be greatly appreciated.

sprintserve
10-06-2004, 05:51 PM
Well call them based on their actual functional roles in the company.

MAndrew
10-06-2004, 05:52 PM
Co-Founder seems pretty straightforward and appropiate

Nettworkz
10-06-2004, 06:35 PM
Originally posted by Derek
I ask because I know of CEO, President, Director, etc... but don't know which of these fit. As far as I know, CEO is only reserved for an incorporation which is not an LLC. What kind of a title would be equal to President? What is the difference between a Director of Operations and a President?

As I understand it, it depends on part on the state in which your L.L.C. is formed, and their laws pertaining.

In almost all states, that I'm familiar with at least, the generic term of "Member" is used for L.L.C's, however you may have to specifiy a president when actually doing the filing. Ask whomever is performing the L.L.C. formation for you.

Josh Stein
10-06-2004, 06:37 PM
Here is an e-mail from our corporate lawyer that will hopefully explain some things:


A "partnership" is a legal entity that is either a general partnership or a limited partnership. In either case, a general partner, as opposed to a limited partner, has the ability to cause the partnership to become legally obligated to third parties and such general partner is personnally responsible for the liabilities and obligations of the partnership. In the context of a LLC, you do not want to give third parties a basis to believe that you are a "partner" in a partnership and lead such third parties to think that you can unilaterally bind the "partnership" (your LLC) and that you are personally responsible to such third parties for the obligations of the "partnership". At all times in conducting the affairs of the LLC, you and Andrew should do so under the title of Manager and ,acting in such capacity, on behalf of HyTek Hosting, LLC. Please note that the LLC will be treated as a partnership for income tax purposes. The above is a summary, lets talk further about these and other LLC concepts when you complete your review of the op agreement. In the mean time, e-mail me with any further questions.

Derek
10-06-2004, 07:24 PM
Ok, so, if there are partners in a company... each with an equal share, what would the two titles be that would go on a business card for example? Member? What kind of member? Director? Director of what? Can I choose my own term for Director of ______? Is there anything equal to "President?" Is a President required to register as an LLC?

Josh Stein
10-06-2004, 07:32 PM
Originally posted by Derek
Ok, so, if there are partners in a company... each with an equal share, what would the two titles be that would go on a business card for example? Member? What kind of member? Director? Director of what? Can I choose my own term for Director of ______? Is there anything equal to "President?" Is a President required to register as an LLC?

My business card says Business Manager / Founder. However, I share half the interest in the company. President, CEO, COO, CFO, etc, are typically reserved for corporations. Within a corporation there is typically a board of directors or executives. These people make up the decision making power of a company. They can vote on issues, etc. I would recommend speaking with a corporate lawyer if you want to form a corporation as it can get quite involved.