Form LLC in Orlando Florida – Pros and Cons
As experts in forming llc in Orlando, FL, we coach that a limited liability company (LLC) is a business structure that has shareholders as its owners. In much easier terms, it is a company where there more than 20 owners to the company. The organization is listed over the stock exchange and the general public is allowed to buy and sell shares according to their choice. The general public gets the access to the financial accounts of the company, regardless of them being shareholders or not.
Advantages of Forming an LLC in Orlando Florida
- An LLC in Orlando Florida is exempted from double taxation. Usually, public limited companies are first taxed on their profits, and then shareholders are taxed on their dividends. The “s” type of corporations in Florida are just taxed once, and not twice like other corporations around the country. This advantage is inviting for general public to participate in the stock market which means that stock prices settle in for the positive.
- A limited liability company increases the credibility of the company by ways of promoting goodwill and a positive brand image with support of brand equity.
- An LLC format allows the company to work without restrictions on the number of owners. This means that there can be as many shareholders in the company as possible. LLCs in Florida may also choose from the varying types of distribution of profits. Unlike common partnerships where the profit is split in the ratio of 50:50, an LLC has room for much more flexibility.
- Florida S corporations are different from LLC’s: the difference between both lies in the fact that LLC’s can have subsidiaries while S corporations don’t.
- Since the company is listed over the stock exchange, the ownership of the company can be transferred to someone else simply by selling its shares
Disadvantages of Forming an LLC in Orlando Florida
- Even though the cost attached to registering an LLC in Orlando Florida is considerably lower than other states, the range of costs lie between a hundred to eight hundred US dollars. Regardless, the startup fee is still there. LLC’s are a more expensive form of business structure as compared to single or partnership owned businesses.
- Since LLC’s is a newer business structure and has recently taken up popularity. This is why there no case laws in place.
- This is a form of business structure where the debts of the company are associated with the persona of the company. The organization has a personality of its own in legal terms and is not associated, in any way, with its owners. The liabilities of the company are separate and therefore, owners do not become liable to pay them back. Even if the company sinks, it is still going to be the company who will be responsible to return the liabilities.
The advantages associated with LLC’s obviously outweigh the disadvantages.
If you need more information about our business development services, please contact us at 407-344-1228. FreedomSBS is a marketing, graphic & web design, accounting, internet marketing, business development, and corporate law resource firm all in one! FreedomSBS is your one stop shop to start, grow and mature your business. Our services include: incorporation services, graphic design, logo design, web design, web development, internet marketing, search engine optimization (SEO), marketing consultations and corporate law resources. Our services are provided nationwide, but since our main office is located in Kissimmee, FL, we mainly help businesses in the Central Florida market to areas like Orlando, South Orlando, Kissimmee, St. Cloud, Poinciana, and Hunters Creek, FL.