Business structure

Should I form an LLC as an author? Limited liability company: As its name implies, an LLC offers protection from liability for an author-though less protection than would be provided by full incorporation. LLCs allow authors to set up a separate legal entity, protecting their personal assets in the case of lawsuits. Read more on … Read more

Is it better to be self-employed or incorporated? Income tax rates are lower for corporations than for the personal income received by sole proprietors. Using tax planning, the tax burden can be reduced by earning income through your corporation as an incorporated contractors, due to the lower corporate tax rates. Read more on blog.stafflink.ca For … Read more

Is a writer a sole proprietorship? Most writers operate as a sole-proprietorship. It is the default entity until an LLC or S-Corp is formed. You and your writing business are one in the same. Sole-proprietorships are the simplest structure of the three entities. Read more on www.sidebarsaturdays.com You could be concerned about your company’s legal … Read more

Which is better LLC or S corporation? If there will be multiple people involved in running the company, an S corp would be better than an LLC since there would be oversight via the board of directors. Also, members can be employees, and an S corp allows the members to receive cash dividends from company … Read more

Is it better to be a multi-member LLC or a single-member LLC? A single-member LLC is easier for tax purposes because no federal tax return is required, unless the business decides to be treated as a corporation for tax purposes. The income is reported on the member’s tax return. A multiple member LLC must file … Read more

An LLC is a type of business entity, while an S corporation is a tax classification. In some instances, a business may be both an LLC and an S-corporation. (You can form an LLC and choose to be taxed as an S corporation, but your business can also operate under the default taxation system for … Read more

What are the major disadvantages of a sole proprietorship? The biggest disadvantage of a sole proprietorship is that there is no separation between business assets and personal assets. This means that if anyone sues the business for any reason, they can take away the business owner’s cash, car, or even their home. Read more on … Read more

What are the advantages of sole proprietorship? Advantages of a sole proprietorship. Minimal paperwork and low set-up costs are two major benefits of having a sole proprietorship. In addition, there is the ease of maintaining it. In fact, according to the SBA, it’s the simplest and least expensive business type you can establish. Read more … Read more

What is the best business structure for a food truck? If you plan to run a food truck on your own and exercise complete control, then a sole proprietorship may be your best entity formation bet. The con to forming a sole proprietorship is that there is no liability protection. Read more on fundbox.com In … Read more

How do I make one LLC own another LLC? If you set up multiple LLCs, you will have to file LLC forms and pay a fee for each one. Each LLC will need to keep its own records and maintain its own bank account, payroll and tax documents. Setting up a parent-subsidiary structure will not … Read more