Should I open a business license or an LLC?

2 Answers

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  +3 Votes 3  0

  Pinyo on Jul 28, 2011

  Taxation and other legal considerations aside, LLC is probably the best structure for you. LLC allows each partner to contribute different amount of investment, own different percentage of the company, and split the profit however you see fit (specifically, it doesn’t have to be the same as the percentage of ownership).

  Here’s a good article that I recommend you read: http://www.powerhomebiz.com/vol136/structure.htm

  The best thing to do is spend a few hours with a CPA specialized in business tax and incorporation so that all of you can equally understand what’s going on. 

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  +1 Votes 1  0

  TK on Aug 12, 2011

  LLC is the best way to go if you do not have shareholders.  LLC is indeed a business license…so if you are getting an LLC, you are getting a biz license.  The best thing about an LLC?  You do not have to file separate taxes for it (aside from what’s required for a business in your state) but it protects you from personal liability.  However, with that said, you should definitely consul a tax attorney or a CPA to really find out what the best business structure for your biz is.