March 23, 2018

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What are the Main Differences between an LLC and an S-Corp?

What Is a C-Corporation?

What Is an LLC?

What Is an S-Corp?

Which Type of Company Incorporation is Right for You?


Top Consumer Reviews Articles provides unique articles that you won't find anywhere else on the internet. These articles are designed to help you make the most informed decisions possible.

What Is An LLC?

When you first come up with the idea of a business, it’s the most tempting thing in the world to jump right in and get started. But the realities of taxation and federal and state regulations are best faced during the planning stages of a new venture. For small business owners, the legal structure of the concern can affect taxation on both a federal and state level – as well as a host of other legal and financial matters. Among the choices in structure are sole proprietorship, limited liability corporation (LLC), S-corporation, and partnership. Of these, the LLC is prized by some but often misunderstood.

What is an LLC? An LLC is a legal entity separate from any of the individuals involved in ownership of the venture. Among the primary attractions of this structure is that no owner – or member, as defined in this structure – is individually liable for the debts or obligations of the business. This factor may not seem relevant when sales are booming and the business is flush. But during times of economic distress, if the business falls on hard times, it can save you the inconvenience of sleepless nights.

Commonly, the LLC structure is applied to partnerships and other businesses with a small number of owners. But sole proprietors too can take advantage of its benefits.

The federal government taxes LLCs in one of two ways: As a pass-through entity or as a corporation. When an LLC is taxed as a pass-through, the profits go to the owners. The owners in turn pay taxes on those profits when they file their individual tax returns.

Each state treats the LLC structure differently. Generally, it is simplest to form an LLC in the state in which you do business. However, if you prefer, you can form an LLC in a different state. You must become familiar with the regulations of the state you choose to avoid running afoul of any rules. Some owners choose to form an LLC is a state different from their own – a foreign state – because their native state levies high taxes.

Registered Agent
A registered agent is a person or company on whom notice must be served in case of a lawsuit. It’s no fun thinking about potential legal action even before your business is off the ground, but when you form an LLC, you have to name a registered agent. You can choose an owner or manager of the LLC. But naming an independent party or even another company can lend peace of mind. In fact, any adult who lives in the state where the LLC is formed and who has a street address -- rather than a post office box -- can serve as your registered agent. Of course, you want to select a registered agent who is responsible and trustworthy.

The LLC members may choose to manage the entity for themselves. If your members are scattered about the United States, however, it might be prudent to hire a manager. Of course, no matter what your choice, regular communication with the manager is essential to successful business operation.

An LLC is a business structure that may offer tax advantages. Consult your accountant and/or tax professional and consider carefully when deciding whether to form an LLC.

PreveCeutical Announces Incorporation of Australian Subsidiary to Support Ongoing Research Programs

VANCOUVER, British Columbia, March 16, 2018 (GLOBE NEWSWIRE) -- via NetworkWire - PreveCeutical Medical Inc. (the "Company" or "PreveCeutical" ) (CSE:PREV) (PRVCF) (18H.F), announces the incorporation of its first Australian wholly-owned ...

Published:  Tue, 20 Mar 2018 05:46:00 GMT

State challenges Buffalo Chip incorporation

STURGIS - The state of South Dakota is challenging the incorporation of the town of Buffalo Chip. This comes after the city of Sturgis and area land owners had exhausted nearly all their legal options. Under state law, the state's first step in the ...

Published:  Fri, 16 Mar 2018 10:39:00 GMT

Hiring A Singapore Incorporation Services Can Help Foreign Entrepreneurs Avoid These Common Mistakes

Amongst all the countries in the Asian region, Singapore is currently the most preferred by foreign entrepreneurs to do business in. With its strategic location, business-friendly environment, state-of-the-art infrastructure, and unparalleled tax system ...

Published:  Thu, 15 Mar 2018 18:41:00 GMT

South Dakota to intervene in case of town's incorporation

STURGIS, S.D. (AP) - South Dakota is challenging the incorporation of a town on the western part of the state. The South Dakota Supreme Court said last week it will allow the state to intervene in the incorporation of Buffalo Chip, which is located ...

Published:  Mon, 19 Mar 2018 14:01:00 GMT

State to intervene in case of Buffalo Chip incorporation

STURGIS, S.D. (AP) - The state of South Dakota is challenging the incorporation of the town of Buffalo Chip. The Black Hills Pioneer reports the state has hired a private attorney to serve as a special assistant attorney general. The state Supreme Court ...

Published:  Mon, 19 Mar 2018 08:37:00 GMT

JR Ball: Disdain and disgust driving the St. George incorporation train

What does the second go-round of the St. George incorporation movement have in common with the disaster known as the Louisiana Special Session Both are rooted in disdain for the respective executive in charge and disgust for anyone who believes "tax and ...

Published:  Mon, 19 Mar 2018 13:38:00 GMT

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