Who likes what?
I’m leaning towards LLC for the cheaper and easier buy in.
Haven’t pressed the accountant or insurance guy for their pick yet….
In the meantime..who likes what?
My little “DIY Incorporation” book doesn’t make much of a case for one over the other…but it’s a coupla years old….and the LLC’s changed in popularity in the last coupla yrs…especially here in PA.
..as a side note…..in the book….”s-corp” is literally chapter 11…….
that’s not a good thing, is it?
Seems like the 13th floor.
Jeff
Buck Construction Pittsburgh,PA
Fine Carpentery…..While U Waite
Replies
and..what's with this "Registered Agent" thing?
is paying a service $125/yr worth anything or can I be my own registered agent?
Haven't even been about to find out from the PA website if I need a registered agent here....but I'll guess that I do.
I'm looking at the american express Open site that has a link to their prefered provider.....looks like good info....but the info is coming from the same people trying to sell me their services....so.....
Jeff
Buck Construction Pittsburgh,PA
Fine Carpentery.....While U Waite
i am "s"... i'm also the registered agent for some other real estate corps..
but my lawyer is the registered agent for my "s" corp.. seems like a cheap way of having him on retainer without the retainer..
also.. i get some great referral from my lawyer.. ya just never know ... da ya ?Mike Smith Rhode Island : Design / Build / Repair / Restore
I talked with my insurance guy....he said no real differences on his end between the two....and also so real differences between sole prop and either choice.
Just gotta notify him if and when.
There'd be a slight...maybe $50 more.....change in the van insurance. Right now......registered thru me......if I registered it thru the LLC.
I'm strongly leaning LLC. Insurance guy said 90% of his customers that make the switch now go LLC.
A coupla months ago I ran the idea past my accountant....for my situation..again...it really didn't make mush of a difference. He said pro's and cons to both....but really was a wash.
Said some deductions were easier thru the corp.....but I'd have to lay out more money to recoup those deductions. Things like trips were an easier business expense.
I still gotta run this past the guy I'm subbing for right now...he's all about the business angles....and I know he's LLC in the current business. He's also about saving a buck...so he might have some input on the agent thing.
Sounds like I don't need to pay someone for a service I can easily do myself. I do like Mikes idea....tax guy offered 2 CPA's that'd handle it...maybe I'll ask for a lawyer referal. Might even ask the lady I get all my second hand legal advice for free from...that might be nice of me!
Left a message with the accountant asking about the tax ID forms and such the AmEx company includes in their expanded package. Once again..the basic package is probably all I need.
Tax guy said their prices seemed pretty good though......even before the 30% AmEx discount.
JeffBuck Construction Pittsburgh,PA
Fine Carpentery.....While U Waite
If your accountant does taxes for both LLCs and S-corps, ask your accountant. Otherwise find an accountant who does taxes for both and ask him.
Have your accountant go with you to your lawyer for the necessary paperwork.
$125 a year for a registered agent (you should not need one) is not a material cost.
In PA, I fully incorporated rather than S. LLC wasn't an option then. I chose C corp be/c of the limits an S places on # of future investors. That was appropriate for that situation and came in handy when I sold the company--C corp to C corp sale was much easier.
Now I'm LLC be/c there's almost no administrative requirement--a once-a-year $200 fee for the good folks in Raleigh. I'm not intending to have partners, and it keeps taxes and over-sight easier.
In each case, the recommendation ultimately came from my lawyer more than my accountant. Acct just explained tax consequences, but legal requirements and implications was more of an issue in my decision.