The benefits of using an LLC
Getting an LLC can be highly beneficial for your company. Whether you have a small business or a large corporation as a company, you can still benefit from getting an LLC. It is a 6 step process and really easy to do, along with some help on the way. If you are still in doubt of getting an LLC, then here are some advantages for you to consider.
When having an LLC business, you do not need to file a tax return. In fact, it goes directly through the business owner because as an owner you have to report your share of the profits and loss as an individual tax return for your business. That means you do not pay double taxation, nor do you and your business pay taxes. This also depends on which state you are going to apply for an LLC in.
You can protect your assets
Once you form an LLC, it is advised for you to set up a business bank account and get a business credit card. The reason for this is because you can separate your personal assets from your business assets, which will help you in the long run in case your company ever gets sued. So that means all your personal finances and ownership will not be affected, since it is separate from your business assets.
You can get extra help
Part of the process of getting an LLC is hiring a registered agent. A registered agent is someone who takes on the responsibility of handling your paperwork, taxes and even handling your lawsuits for you. You can be your own registered agent if you want to, however, if you want that extra help and professional advice, then consider hiring a registered agent. You can also update and change your resgietered agent, which is really easy to do online.
You are legitimizing yourself
When forming an LLC, it is as if you are legitimizing your business name. Your business will show up on the federal database for businesses and you will have official ownership of the name you have chosen for your LLC, which means that no one else can steal your name. You can also get a domain online which helps expand your business and the image that it has. You can also get assistance with a free name generator in order to come up with a business name or brand name for your LLC.
There are no limits
When setting up your LLC organisation, you have to elect which member will do what and secure each role and the hierarchy. However, there is no limit when it comes to the amount of members you can have under your LLC, which is beneficial for you and your business partners.You just have to comply to the rules of updating the amount of members under your LLC, who has been filed for termination or change and which members have recently been added to your LLC.
Getting an LLC has more advantages rather than disadvantages for your business. In the long run, your reputation for your business will be protected, you can have as many members as you need for your LLC, you have flexible taxes and you will always get professional assistance and guidance when it comes to your accounting, lawsuits and finances. The list of advantages is endless and many major companies such as McDonalds are LLC companies.
Getting an LLC is an easy thing to do, but before you do go ahead and apply, you need to choose which state you are going to apply in. Some states have more beneficial factors to consider in comparison to others, so you have to think of whether you are eligible to apply in a certain state or not and take your time with each step in order to meet the right standards and not make any mistakes.