New Entity Formation
When choosing an entity, it is important to consider factors such as liability protection, tax implications, and management structure.
The most commonly used legal entities for business formation are sole proprietorships, partnerships, corporations, and limited liability companies (LLCs). Each of these entities has its own unique characteristics, advantages, and disadvantages.
Sole proprietorships are the simplest form of business entity and are owned and operated by a single individual. In this type of entity, the owner is personally liable for all business debts and obligations.
Partnerships are similar to sole proprietorships but are owned and operated by two or more individuals.
Partnerships can be either general partnerships, where all partners are equally liable for business debts and obligations, or limited partnerships, where some partners have limited liability.
Corporations are separate legal entities from their owners, meaning that the corporation itself is liable for all business debts and obligations. Shareholders own the corporation and elect a board of directors to oversee the company’s operations.
LLCs are a hybrid entity that combines elements of partnerships and corporations. Like a corporation, an LLC provides limited liability protection to its owners, and it could be taxed in different ways.
In conclusion,
entity formation is a crucial step in starting a business or engaging in any commercial activity. Careful consideration should be given to the type of entity chosen, as it can have significant legal and financial implications.
Give us a call, and we will guide you through the process of choosing the entity structure and best state where to register your new business.
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“It was an absolute pleasure to work with Andrew. Very clear and easy-to-understand tax advice and delivery of information. Will be happy to work with him again in the future!”
Stefani K — Individual
“Andrew was very informative, helpful, and willing to explain anything I didn’t understand. Good at explaining my options and the pros/cons of each path with my LLC and international resident/non-resident tax obligations. I will definitely work with Andrew again.”
James B — Small Business Owner
“Andrew acted as a trustworthy partner. Quick turnaround and flawless execution of C-Corp tax return filing. Will certainly recommend him.”
Arvinderjit C. — CEO
As your trusted advisors, we evaluate your individual tax situation and guide you through any tax challenges that develop. Our goal is to minimize your tax liability so that you can keep more of your hard-earned money.
It’s also our job to stay up-to-date on current federal and state tax laws through continuing education and we use our in-depth knowledge of tax codes when we prepare your individual tax returns — so you don’t miss out on any tax credits and deductions that you are entitled to take.
Here’s what else we do for you:
- Prepare accurate tax returns that are filed on time
- Calculate estimated taxes for self-employed small business owners
- Develop tax planning strategies that reflect individual financial goals
- Electronic filing and direct deposit for a faster tax refund
- File extensions and calculate estimated tax to avoid interest and penalties