Business Formation in USA
Starting a new business? Get An Expert Opinion Before You Start Your Business!
Starting a new business is like setting sail in rough seas. It is an adventure that you should not set out on your own. There are technicalities and risks involved that most entrepreneurs are not aware of, therefore, Let our expert’s help you navigate through the storm and make this journey as smooth as it can get.
First Thing First, Make It Official
First of all, we will get all information through on boarding for business setup process and then apply for name availability, after that we will go for legal process and registration of your new venture which include the type, State, Board members, Directors, Officers and others things to be taken cared of while forming a new business.
Build a presence before getting started
Today it’s a tech world and the best way to reach out the niche relevant people for business growth is your own platform which can connect you in the real time. Before we register the legal name, we will make sure domain and other platforms available same as legal name. Yes! Its very important to introduce your idea to world and make it a brand.
Become a Brand, Not a Company
In order to be a brand, we believe there is no better way then to go online. Our experienced, innovative and passionate team of web designers, web developers, help you create website for your business. Our service not end here, we also help to grow your business by making your website reach out the target audience via Digital Marketing services.
We Go Beyond Clients, We Make Partners
We are helping start-ups in San Francisco Bay Area, since 1995. With a presence in 11 states and 4 different countries, we have been serving our clients with integrity and commitment building relationships built on trust. We believe in becoming strategic partners for our clients to and make them a part of the Nomersbiz family.
Let us help you succeed by getting your new venture off to a healthy, and great start.
What to understand before you start.
Limited Liability Company (LLC)
Limited liability is a business and legal concept that regulates a business that protects business owners from the responsibilities of their business. Business owners who have limited liability cannot lose more than their investment in the business, which means that the creditors cannot make use of the personal assets of the owner to recover their loans to the said start-up. In the case of a legal suit or bankruptcy, the debts can be recovered up to the value of the business’ assets. A shareholder cannot be put under the compulsion to sell his house or other assets to cover his participation in the debt of the company.
How are LLCs Taxed?
LLCs are not like corporations and are referred to as pass-through entities much like a partnership or sole ownership. The IRS allows to pass through all the business profits to the business owner(s), who have to pay these taxes and report them on their personal tax returns. An LLC, on it’s own is not a tax paying entity and is not subject to any type of federal income tax (although Florida, California, Delaware, and New York do impose taxes on LLCs).
Incorporation (S Corp, C Corp)
- If you are planning to raise capital from outside investors or go public, the best way to go about it is incorporation. Getting registered as a C-Corp or an S-Corp can help you in achieving your objectives in this case.
How C-Corporation and S-Corporation Taxed?
- C Corps are subject to double taxation i.e. first the corporation is taxed and then the shareholders who receive dividends pay tax on their personal income. On the other hand, S Corps are also known as pass-through entities which means that they don’t have to pay a federal income tax. Only the shareholders must pay the taxes according to their percentage of investment. They are not subject to self-employment taxes on their share of income in an S Corp’s profits.
C-Corporation
- Owner’s share of profits is taxable
- The business Is liable to pay corporate income tax
- The profits or losses of the business are passed through to the owners each accounting period
- No limit to number of shareholders
- Only US citizens or resident aliens can be shareholders
S-Corporation
- Owner’s share of profits is taxable.
- The business does not have to pay and federal tax on profits.
- The profits or losses of the business are passed through to the owners each accounting period.
- Maximum number of shareholders is 100.
- Only US citizens or resident aliens can be shareholders.
We can help you with,
- Preparing all documents for legal permits and licenses.
- Explaining your management, marketing, and financial plan through a preliminary business plan.
- Putting together a business structure according to your needs to help you with tax saving, operational ease, legal exposure, and ease of relocation.
- Developing a start-up capital requirement.
- Determining where you can raise capital from i.e. sources of capital.
- Providing experience business consultants and all types of accountants and set up an accounting software-based system according to your needs and requirements.
- Developing your cash flow requirements to help you understand your cash requirements to keep your business alive during its early stages.
- Developing your receivable cycle to maximize the cash flow.
- Developing internal cost controls.
- Setting up a payroll services for startups and employee tax filing when you hire your first employee.
- Complying with Labour Laws and other employment laws to avoid any legal hassles with unhappy employees.
- Recognizing the insurance requirements of your business.
- Developing a partnership agreement that is free of loopholes and avoid any trouble regarding the business’ operations in the future.
- Filing Taxes on time.