Posts Tagged ‘limited liability company’
What are some strategies to protect assets?
The main asset protection strategy is to separate different business activities by placing them each into different entities. That way if one of the businesses gets sued, it will not affect the others because they are operated in a separate legal entity. For example, if you owned a plumbing supply business and some rental properties, » Continue…
What kind of liability protection does a corporation provide?
The law allows you to conduct business just yourself as a sole proprietor or with someone else as a partnership. If you operate the business yourself or as a partner then, for legal purposes, your identity is the same as the business. If your business is sued, both the business assets and your personal assets » Continue…
Do I need a new employer identification number (EIN)?
Each new entity, such as a corporation or limited liability company (LLC) is required to have a new employer identification number (EIN) for federal tax purposes (this is not the same as a state tax number). This is true because the new entity is considered a legal entity separate and apart from the individuals who » Continue…
What is the basic difference between an S corporation and a limited liability company?
S corporations and LLC’s are similar in both the way they provide liability protection to the owners and in the way they report taxes. Both provide limited liability protection to the business owners. It has been suggested that the liability treatment of S corporations (which are treated just like regular C corporations for liability purposes) » Continue…
