While you can file on your own using forms or composing a document yourself, it will be more beneficial for you to get professional help. Therefore, we have a department dedicated to corporation filings.
Here are some things to think about if you are deciding whether to form an LLC incorporate as an S corporation or C corporation or to file a DBA.
What Is A Sole Proprietorship?
A Sole proprietor is a person who owns an unincorporated business by himself. Although, if you are the sole member of a domestic limited liability company (LLC), you are not a sole proprietor if you elect to treat the LLC as a corporation.
The sole proprietorship is the simplest business form under which, one can operate a business. The advantages of a Sole Proprietorship:
- Easy and inexpensive to form
- Complete control
- Simplified tax preparation
What Is An S Corporation?
An S corporation (S corp) is a unique type of corporation which is done through an IRS tax election. They elect to pass corporate income, losses, deductions, and credits through to their shareholders for federal tax purposes. Shareholders of S corporations report the flow-through of income and losses on their personal tax returns and are assessed tax at their individual income tax rates. Because of it S Corporations are staying away from double taxation on the corporate income.
To qualify for S corporation status, the corporation must have the following requirements:
- Be a domestic corporation
- Have only allowable shareholders
- May be individuals, certain trusts, and estates
- May not be partnerships, corporations or non-resident alien shareholders
- Have no more than 100 shareholders
- Have only one class of stock
- Not be an ineligible corporation (i.e. certain financial institutions, insurance companies, and domestic international sales corporations)
What is a Limited Liability Company (LLC) ?
A Limited Liability Company (LLC) is a business structure allowed by state statute. While each state has some differences to forming an Limited Liability Company, they all have similar general principles:
- Pick a Business Name
- File the Articles of Organizations
- Create a Operating Agreement
- Get Licenses and Permits
- Announce your Business
What is a “Doing Business As” Name?
DBA name is a business name that is different from your personal name, the names of your partners or the officially registered name of your LLC or corporation. When you form a business, the legal name of the business defaults to the name of the person or entity that owns the business, unless you choose to rename it and register it as a DBA name.
Do I need a DBA Name?
You need DBA in the following scenarios:
- Sole Proprietors or Partnerships – If you wish to start a business under anything other than your real name, you’ll need to register a DBA so that you can do business as another name.
- Existing Corporations or LLCs – If your business already exists and you want to do business under a name other than your existing corporation or LLC name, you will need to register a DBA.
What is Benefit Corporation?
When starting a business, it’s important to protect your properties. That’s why you need to create a business entity for your company such as a corporation. If you want to make a positive impact on the environment and society, a b-corporation can be a great choice for you. It is a relatively new type of business, where directors balance the public interest and interests of shareholders and other stakeholders (for instance, employees).
What Is A C Corporation?
It is the most common type of corporation in the US. It offers unlimited growth potential through the sale of stocks because of this you can attract some very wealthy investors. Also, there is no limit to the number of shareholders a C Corp can have.
What is an (LP) ?
A Limited Partnership has at least one general partner and one limited partner. The general partner has the same role as in a general partnership: controlling the company’s day-to-day operations and being personally liable for business debts.
What is an (LLP) ?
A limited liability partnership (LLP) is basically a general partnership but with the addition of giving the partners at least some limited personal liability. There is only one class of partner. Also, the degree of liability limitation for an LLP varies from state to state.
What is a Nonprofit Corporation?
A Nonprofit corporation is a special type of corporation that has been organized to meet specific tax-exempt purposes. There are many factors to consider before qualifying as a Non-profit. Do you benefit the public? Do you benefit a specific group of individuals? Some examples of Nonprofits include: religious organizations, charities, and membership clubs.
What is a Professional Corporation (PLLC) ?
Professional corporations and professional limited liability companies (PLLC) are corporations and limited liability companies organized for the purpose of providing professional services. Usually, professions where the state requires a license to provide services require the formation of a professional corporations or PLLC.