Entity Formation

We can assist you in entity formation and choosing the best structure for your business enterprise.   We also assist in obtaining your Federal Identification Number.

Choice of Entity

S Corporation

S Corporations offer specialized taxation that limits the company’s liability. When you form an S Corporation, there is no corporate tax at the Federal level.  As a flow-through entity, profits and losses are transferred to the shareholder at the individual taxation level.

For this reason, an S Corporation is most often chosen by businesses who chose to incorporate.  It is considered a good alternative to a legal business partnership because it provides tax benefits without the complexity.

C Corporation

In C Corporations profits are taxed at the corporate level before it is distributed to shareholders, but the main feature of this type of incorporation is that it offers certain advantages that some companies require.

C Corporations are the only option available for US companies choosing to work with foreign shareholders and investors. Forming a C Corporation also allows you more flexibility to spread the business earnings between the corporation and shareholders for tax-planning purposes.

Limited Liability Company

Formation of a Limited Liability Company (LLC) protects your personal assets by keeping them separate from your business assets, and it provides very good flexibility available when it comes to taxation and business structure.

An LLC is a very common choice for businesses with a single member or a small number of members, as it offers the protections of incorporation without the same requirements necessary for larger, multi-shareholder corporations.

For more information on our entity formation and other financial services, including tax services and QuickBooks consulting, call George Hernandez, CPA, P.C. at (631) 385-0300 or Contact Us.