1. Limited Liability
The most popular reason people form an LLC is to protect their personal assets. LLCs ensure that, legally, you are not held personally responsible for the debts and liabilities as a result of the company’s business. This avoids personal litigation, seizure of personal property, and bankruptcy.
When starting a new business, one of the first decisions to make is whether to form your company as a sole proprietorship, partnership, Limited Liability Company (LLC) or incorporating a business. Incorporating an existing business brings up other questions of when, why and how. There are advantages and disadvantages to each type, but the benefits of incorporating your business should play a key role in your decision-making process. Here are the top 3 reasons to incorporate your business:
As tax season comes to an end and you file away your records, you may be looking at your ever-growing file cabinet and wondering, “can I get rid of some of these documents?” While there are many reasons to keep or discard certain paperwork, there are some documents you should never throw away! (IRS Tax Returns and supporting documents should be kept for 5-7 years, by the way.)
Below are the 9 paper documents you should keep forever in their original form: