PRINCIPAL DEFINITION PROFESSIONAL

the person primarily responsible for an obligation a person who employs another to act as his agentī. As a sole proprietorship that may mean the only legal person in which can sign the document.Ī. The Principal of the company will hold legal responsibility, will own a portion, or could own all of the company. For instance, you may be asked to sign a new dealer application, and it may ask for a Principal owner of the company. Assigning a 'Principal' to your name usually involves a legal document. In each case in this example, the company, involves 2 or more people, even in a legally formed Sole Proprietorship. In a Sole Proprietorship you are considered a ? of the company.

In a Incorporated company, you are considered a ? of the company.

In the Corporate world you are considered a ? of the company, in an LLC you are considered a ? of the company. You may ask why, and that is a great question. First off, if you were the CEO, CFO, President, Owner, Manager, General Manager, Vice President, Secretary, Treasurer, you would sign as such. In Business school, we were taught the differences between all the different types of companies in our new world economy. This is the only reason why I see any benefit using 'Principal.' It makes people more comfortable and likely to trust they are contacting a decision maker. Quite frequently, people who call my firm do ask if they are talking to a firm leader (or something similar). It is: FIRST NAME, MIDDLE INITIAL, LAST NAME, Principal Attorney. I don't go around telling people I'm 'Principal so and so,' with the exception being my email signature.

PRINCIPAL DEFINITION PROFESSIONAL

I myself am a founder/owner of a Virginia criminal defense firm registered as a Professional Limited Liability Company (PLLC).

Partners tend to use 'Partner' or 'Founding Partner,' while attorneys who are founders of a non-partnership structured firm, such as a professional corporations or professional limited liability company, tend to use, 'Principal' or, 'Principal Attorney.' A good number of solo practitioners also simply use (Esq.), but some attorneys do not think this is in good taste (I have no idea why not). Many law firms these days are considered 'small businesses.' I live in a county with about 1.3 million residents, and some of the attorneys I am friends with refer to themselves as one of the following:Īs far as the most popular designation, it's tough to say. I will use an industry I am familiar with to illustrate. I think I can shed some light on this subject.

Principal definition