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Should You Form an LLC?

When you are in business, there is a chance that you could be held personally liable for anything that goes wrong in the course of operations. Besides your business assets, your personal assets could also be at stake. This is why you should consider forming an LLC.

The “LL” in LLC means limited liability. This protects you personally as a sole proprietor. There are almost never any circumstances in which you would want to put yourself at risk. Forming an LLC restricts your possible liability to only your business assets.

An LLC could also entitle you to tax benefits that you may not have as a sole proprietor. This could help you avoid a double taxation issue, where the earnings of your business and your personal earnings are taxed. You can get pass-through tax treatment, and you do not have to file a corporate tax return.

LLCs Have Comparatively Less Hassle

LLCs are also easier to register, and they have less paperwork than other types of business forms. Florida makes it relatively easy to get started with filing a handful of forms. You should still pay close attention to how your business is run, but you do not need to worry about the more extensive obligations that a corporation has.

Your choice of a corporate form is one of the most important things that you will do when starting a business. There are few downsides to an LLC, but a business formation attorney could advise you about what may work best for your own particular situation.

St. Augustine Business Formation Attorney

The lawyers at Naples & Spence help Florida businesses get off the ground. We can advise you on matters like the best corporate form and how to best start your business legally. Call us today at 904.944.7429 or contact us online to discuss your business.