ENTITY FORMATION

Forming a new entity begins with using business objectives to determine the entity type that will best suite your needs, for example, a corporation, limited liability company (LLC) , or partnership. To get the most out of your business, choose the right type of entity to help maximize your chances of financial and operational success.

Once you’ve selected the entity type, you will then be required to choose the jurisdiction(s) where your entity will do business. Factors like where the company is located, where its customers are located, and whether it may be best served by a particular jurisdiction because of tax law or corporate governance regulations, will help steer your decision-making.

It’s also important to understand the tax implications of your choice of entity and jurisdiction. our accounting or tax department can help identify tax obligations.

We will:

• Search and reserve your company name
• Draft and file articles of incorporation
• File Form SS-4 or apply online at the Internal Revenue Service website to obtain an employer identification number (EIN)
• Apply for any other ID numbers required by state and local government agencies, for example, unemployment, disability, and other payroll taxes

Why form a corporation?
Below are some of the benefits of forming a corporation:

• The owners are protected from the corporation’s debt, lawsuits, and other business related liabilities.
• The corporate structure makes it easier to raise capital by selling stock to investors.
• The corporate structure can reduce taxes by avoiding self-employment tax and utilizing income splitting strategies.
• A corporation has a perpetual life. This means that the business continues to exist even if the owners leave the company or dies.
• The corporate structure can help develop credibility and professionalism.