Far too often, entrepreneurs are unaware that LLCs and corporations are very different. Although virtually the same from a liability protection standpoint, they are extremely different from a tax stan...
dpoint. A lawyer and a CPA can help you evaluate the pros and cons of corporations and LLCs, but in the meantime, the following are some basic guidelines:
• In our firm, we use LLCs as the entity of last resort, because of the extreme junk fees - called the "Gross Receipts fee" that apply to LLCs (but not to corporations) in California.
• In California, the initial $800 franchise tax is waived for corporations, but not for LLCs.
• Licensed professionals cannot operate through LLCs in California
• LLCs are best where the company will own real estate.
• S-Corporations are best except where the corporation will have shareholders who are foreigners or other companies.
Jeffrey Unger, Founder @eminutes
Never miss a thing with our weekly newsletter. We'll send you the latest and greatest infographics, news and all things Visually.
Go ahead, you can always opt out anytime with just one click.
Switch to Wordpress Code
Click below to copy
Get Notified of New Infographics
Thank you for subscribing to the Visually newsletter.
Just one last thing: we've sent you an email asking you to confirm your subscription.
Tell your story visually before December 31st and get a free iPad Air!*
The holidays are a great time to tell your brand story. From Black Friday trends and Mobile Shopping guides to the Best and Worst Times to Book Travel and Thanksgiving etiquette, the Visually team will help you craft your brand's unique stories and raise your social profile during the noisy holiday season.