LLC vs INC

[Tr33Climb3r]

So I kind of know the differences based off of an internet search but when it comes to tree care business/companies which ones do you prefer and why. Maybe make a negative possitive list.

And thanks for the help. Just trying to learn all this business stuff.

 

[just_a_tree_guy]

sorry bro dont know a whole on this but i do know llc will protect you and your possession .

 

[AspenArbo]

I was guided to become an LLC by my accountant with ultimately being taxed as an S-Corperation. Apparently there is a benefit there with how I can operate my business like an LLC, but then I fall into the S-Corp taxation. Thats about all I know about that. Let her (accountant) do the math, I'll to the tree care.

 

[tomthetreeman]

As an S-corp, you can take any profit at the end of the year (as long as it is not more than your income as an employee), and add it to your income WITHOUT paying SS taxes on the money.

As an LLC, I do not think you can be an employee (not sure). Also, there is something about partners with LLC (again, not sure of details).

I hope this is helpful.

-Tom

 

[Tr33Climb3r]

Yea thanks everyone. Just trying to gather as much information as possible.

 

[Rickytree]

Inc is shares I believe and you need a CA to do your books, not just a general accountant.

 

[southsoundtree]

CA...probably mean CPA, right?


Worker's comp requirements may play into this, as well, if you are an employee in one scenario, but not the other.

 

[southsoundtree]

I'm looking into this myself. Anybody have incorporation templates for doing the paperwork themselves, rather than paying $250 through my bookkeeper/ her CPA boss.

 

[Rickytree]

Call them CA's here for Certified Accountants. And they are costly.