Small Business LLC & Corporation Formation

Small Business & Coporation Formation Scottsdale

If you’re just starting a new business, the entity you choose can greatly impact your financial potential.

Whether it be a LLC small business formation or corporation formation, you need a tax and accounting firm that thoroughly understands the legal documentation process and has answers to questions that make a difference to your bottom line.

Contact Scottsdale’s premier business formation specialists today for a free consultation by giving us a call at (480) 990-2727.

Business Formation Consultation

Business Formation is the start of an incredible journey – an adventure filled with potential pitfalls and potential rewards. Don’t start your journey into the business world without knowing where you’re going and how to get there. Even your choice of a business entity can have huge implications for your future.

Launching a new business means that you’ll be required to adhere strictly to the municipal, state and federal laws that govern your industry. Do you already know how that applies to you? To your chosen type of business industry?

Choosing The Right Business Entity

The business entity you choose can greatly impact your personal finances. Few consider the need to have a Tax Strategy in place before starting a new business. Yet, the right business entity can keep your business and personal finances separated and protect you from liability. From tax to personal liability, there is much to sort out before hand.

Small Business LLC Formation

  • Legal structures are independent from their owners
  • Helps separate your business debts from your personal assets
  • Taxed almost identical to a partnership (if there are multiple owners) or a sole proprietorship (if there is only one owner)
  • There isn’t a limit to the amount of owners
  • Not bound to record minutes or hold annual meetings
  • Governed by operating agreements

Advantages of Forming a Small Business – LLC

There are many advantages to forming a small business LLC including:

  • Pass-through taxation. You do not have to file a corporate tax return. Small business owners report their profit and loss on their personal tax returns, avoiding double taxation.
  • Residency is not required. Individuals who choose an LLC entity do not need to be permanent residents or U.S. citizens.
  • Protection from law suits. If a LLC company is sued, the claimants are suing the company, not its investors or owners.
  • Tax Rates. With higher net income, a LLC could be taxed at a lower rate than a corporation.

C Corporation Formation

  • Independent tax and legal structures are separate from their owners.
  • Helps separate your business debts from your personal assets.
  • No limit to the amount of shareholders.
  • Taxed on shareholder dividends and corporate profits.
  • Must record minutes and hold annual meetings.

Advantages of Forming a C Corporation

There are many benefits of forming a C Corporation including:

  • Limited liability. The applies to employees, shareholders, officers and directors.
  • Never ending existence. Even if the original owner leaves the company.
  • Increased credibility. Gain recognition and respect among lenders and suppliers.
  • Potential growth is unlimited. The businesses growth has unlimited potential thanks to sale of stock.
  • No limit to the amount of shareholders. Although, once the company has 500 shareholders and $10 million in assets, it’s then required to register with the SEC (Securities Exchange Act of 1934).
  • Tax advantages. C Corporations have the advantage of being able to deduct business expenses from their taxes.

S Corporation Formation

  • Independent tax and legal structures are separate from their owners.
  • Helps separate your business debts from your personal assets.
  • Personal tax returns are used for reporting the owner’s share of profit and loss in the business.
  • There is a limit to the amount of shareholders and they have to be U.S. residents or citizens.
  • Must record minutes and hold annual meetings.

Advantages Of Forming A S Corporation

There are many benefits of forming a S Corporation including:

  • Limited liability. The applies to employees, shareholders, officers and company directors.
  • Pass-through taxation. You do not have to file a corporate tax return. Small business owners report their profit and loss on their personal tax returns, avoiding double taxation.
  • Avoid double taxation. Income cannot be taxed twice – once as dividend income and again as corporate income..
  • Sales of stock. The company can entice investors by selling shares of stock in the company.
  • Never ending existence. Even if the original owner leaves the company or passes away.
  • Only have to file once a year. Unlike C Corporations that have to file every quarter.

How Partridge & Associates CPA’s Can Help

As licensed legal document preparers, helping you choose the right business entity for your circumstances is one way we can help you on a good start to your business success. Partridge & Associates CPA’s can also help you to understand more about the legal document preparation process. Our more than 35 years experience will be an advantage for you as you move to form your new business.

How We Can Help Even More

Additionally, consider the integrated services we offer. From initial start up to your first business income tax filing, Accounting World CPA & Consulting, PLC will be there for you – with answers that can make a difference to your bottom line, both personally and for your business.


For the highest level of professional services available in Phoenix or Scottsdale, the greatest client service experience you could imagine, and benefits that you can only get from our Scottsdale CPA firm, contact our business formation specialists for your free consultation!

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Summary
Small Business & Corporation Formation
User Rating
5 based on 2 votes
Service Type
Small Business & Corporation Formation
Provider Name
Partridge & Associates,
13430 N. Scottsdale Rd. Suite 300,Scottsdale,AZ-85254,
Telephone No.480.990.2727
Area
Scottsdale, Arizona
Description
Whether it be a LLC small business formation or corporation formation, you need a tax and accounting firm that thoroughly understands the legal documentation process and has answers to questions that make a difference to your bottom line.