What is better for my business LLC or Corp..

[Mrneal0216]

I'm wanting to start a lingerie and photography business.. My question is which structure would benefit me the most LLC or S-Corp? Any advice would be greatly appreciated.

[BRBiz]

I'm wanting to start a lingerie and photography business.. My question is which structure would benefit me the most LLC or S-Corp? Any advice would be greatly appreciated.

 

For most businesses the S Corp is going to be the way to go, to cut back on the fica taxes. Pay your self a reasonable salary and the profits will be pay out as divdends each quater which isn't subject the fica tax. That is the biggest benefit . Just a little extra paper compared to a LLC

 

And with a corp it is a little easier to obtain credit, some places require LLC's to PG the app's no matter what

Edited February 9, 2010 by Brndnh721

[Mrneal0216]

Thank you for the information. Now I guess the next step will be trying to figure out what state to incorporate in. Or should I focus my time and effort on obtaining my DUNS#, 411 listing and things of that nature?

[BRBiz]

Thank you for the information. Now I guess the next step will be trying to figure out what state to incorporate in. Or should I focus my time and effort on obtaining my DUNS#, 411 listing and things of that nature?

 

You first need to inc then get 411 and dun's

[TopCorp]

If you inc. in a state other than yours, you will still need to register you corp. in the state that you will be having a business.

[greywolf]

Just a reminder, if you incorporate as a corporation, make sure you keep accurate records of your meetings, and annual filings. Corporations require a bit more yearly paperwork every year compared to an LLC. Not having annual compliance records is an easy way to lose your liability protection when you need it the most.

[Mrneal0216]

Thank you all for the information. After doing some more research and decided to go with an LLC. Now I just have to pay this ridiculous LLC fee that the good ole state of Texas charges.