Incorporating in Orlando Florida Save Money
We offer unique business incorporation services and we know that tThe primary objective of most businesses is to make a profit, as long as they are not making a profit, then it doesn’t really matter whether they are a corporation, an LLC or a sole proprietorship or partnership. So does corporation really save you money? And if yes, then how and how much?
The fact is corporations can save you money, but that entirely depends on how you incorporate your business and whether you choose the right incorporation for your business and business objectives. LLC, S Corp and C Corp all have their advantages and drawbacks, and so in order to see if you will be making a profit by incorporating in Orlando, Florida, you will need to make sure that you choose the one that suits your objectives and long term goals.
LLC is considered the most ideal solution for small businesses. It gives you the flexibility and freedom of being an independent entity and at the same time entitles you to the limited liability benefit of corporations. So can you really save money if you form LLC in Orlando, Florida? The fact that your personal assets are secured is advantage enough, however as far as taxes are concerned then it solely depends on your own options. LLCs offer the flexibility to choose how you would like your business to be treated, whether as a corporation or as a sole proprietorship.
If you choose to treat it as a sole proprietorship then you will need to pay self-employment taxes and if you wish to treat it as a corporation then you will need to pay the taxes like an S-Corp or C-Corp which will cut down the employment tax to only half of the Social Security and Medicare taxes.
If you decide to incorporate in Orlando, Florida, then you can save a lot of money with corporate distribution. This reduces your social security and Medicare taxes that would have been completely deducted from your profits as a sole proprietor. Even if you don’t make a profit initially or if there are any losses that the company incurs they will be deducted from your taxes which can easily make up for some of the loss. S Corps are also not double taxed like C Corps which make it another viable option for small businesses. So if you are deciding to incorporate in Orlando, Florida, then you should speak to your attorney about the possibility of forming an S-Corp.
C-Corp by all means is a separate entity which needs to file its own tax returns, which means that you will be entitled to double taxation, one for the company and the other for your personal tax returns. Double taxation may not be the most profitable option for small businesses in most cases. However, it is a good option if you plan to reinvest your profits in the business in which case you will not be taxed personally for the profits and hence avoid double taxation.
As you can see incorporating in Orlando, Florida has its benefits and in some cases drawbacks, so be sure to get professional advice regarding the most suitable option for you before making your decision.
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.