Any lawyers, CPA's or business owners who have incorporated on here? Got a few ?'s

BIGRED Z · 02-22-2006, 09:57 PM

Business owners, are you incorporated in your own state? If not, where did you incorporate?

Trying to figure which structure will fit my needs. Thinking of either S corp or LLC.

Lawyers and CPA's: how much does it normally cost to incorporate?

I live in KY, and will most likely do business in Ohio, Kentucky and Indiana to start. But I'm hearing many good things about incorporating in Nevada. Since I will be doing business in several states, that shouldn't be a problem as far as I know.

I know there are companies out there that will incorporate for you, but some want upwards of $2500 which is ridiculous.

Any advice would be helpful. Thanks.

Lori

**SeVeReDiStOrTiOn** · 02-22-2006, 10:23 PM

Auhhhhuhuhuh....you said doing business...auhhuhuhuh

**Sarge** · 02-23-2006, 07:25 AM

I have 8 companies....6 LLP's and 2 C corps all in Texas....
Talk to your CPA as your business model/cash flow and financial liabilities will play a role in the final decision as to what corporate structure you need.....if you have intellectual property or wish to insulate your personal holdings LLC's and LLP's have excellent mechanism's to accomplish that...talk to your CPA....

BIGRED Z · 02-24-2006, 01:26 AM

Thanks Sarge. Damn, Texas has just about the highest fee structure for incorporation. Yeah, definately want the asset protection that comes with an LLC or corp. Too risky for sole proprietorship anymore.

Lori

**johnd** · 02-24-2006, 07:37 AM

I incorporated a partnership in 1982 and merged it with another corporation in 1992. The first question the lawyer asked was, "you don't think this will save you from having to buy liability insurance do you?" Probably subchapter S is the way to go for most people. Interestingly a corporation can lose money (on paper) for years and the IRS will still accept it as a legitimate business, not so with a proprietership. We didn't actually start paying corporation taxes for nearly 20 years. As noted before you need good accountant advice and legal advice, (not my advice).

**97DOHC** · 02-24-2006, 11:01 AM

getting ready to do the same thing... we are going with an LLC so we can pay ourselves based on production.... (fee split)..

definately look into an s-corp, the base salary is taxed 'normally'.. the dividends that are paid from the corp are taxed at a significantly lesser rate...

i would talk with a CPA and decide which is the best route to go... both will insulate 'you' pretty much the same from a legal standpoint.

here in NC, the filing fee is $125.. the lawyer prep is about 1000-1500 for a standard LLC. my lawyer said that it is easy to convert from an LLC to an S-Corp, but not so easy going the other way around...