Company Formation

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Limited Liability company (LLC)

LLC has become a common business structure among small organizations. An LLC is a hybrid entity that combines the liability protection of a corporation with the tax benefits of a partnership. LLCs are less complex to set up than other corporations and offer more flexibility when it comes to management and ownership.

S Corporation

An S Corp is a special type of business structure that is designed to avoid the drawbacks of double taxation. An S Corp allows certain profits and losses to be passed directly to owners’ personal income without being subjected to corporate tax rates. Like LLC, it provides limited protected to one’s liability and any loans or other things are only subjected to that business only.

C Corporation

A C Corp is a separate legal identity owned by shareholders. A C Corp provides limited liability protection to its stakeholders as their personal assets are not at risk. This corporation is suitable for large businesses who tend to grow more with time and require more extensive record-keeping, operational processes, and reporting.

Non-Profit Corporation

A nonprofit is a legal business identity that is formed for a charitable, educational, religious, literary or scientific purpose. Nonprofits are exempt from paying federal income taxes and may be eligible for certain tax benefits. Furthermore, nonprofits must strictly follow rules regarding their activities and finances.

Frequently Asked questions?

The LLC is eligible for "pass-through" taxation, which means that the business's income taxes are only shown on the individual tax returns of each owner, not at the level of the entire enterprise.

If you are an LLC owner, you will be referred to as a member. An LLC may have more than one member or it may have only one.

Yes, a person can form an LLC on their own. LLCs also provide its owners with limited liability protection. This signifies that the LLC alone owns all of the company's assets rather than the owners individually. So, if a business is liable in any way, it is only liable as a business; it has nothing to do with or an impact on the owner's personal assets.

Whether an LLC is held by a single person or has numerous owners has a huge impact on how it is taxed in different circumstances. Additionally, it will depend on whether you wish to pay corporate taxes or not.

If you discover that your LLC needs to be modified, you must file an amendment with your secretary of state.

The LLC is eligible for "pass-through" taxation, which means that the company's income taxes are only shown on each owner's personal tax return and not at the level of the corporation.

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