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 Types
Of Corporations
Nevada
incorporation provides many advantages not offered by other states, especially in the area of asset protection. Choose a C-Corporation, a Subchapter S Corpration or a Limited Liability Company (LLC).
C-Corporation A C-Corporation is the most common corporate structure. It offers a large array of benefits including increased asset protection, an unlimited number of stockholders and many tax benefits. A Corporation is regulated and governed by the state in which it is formed. As a business owner you need to seriously consider which state you incorporate in. For preferred states, such as Nevada, you can take advantage of the following benefits: • Superior corporate veil (asset protection) S-Corporation Corporation may elect to be recognized as S-Corporation after they are formed to take advantage
of a special tax status with the IRS. Often small business owners choose this option if they prefer
to be taxed as if they were a sole entrepreneur or partnership but still want the asset protection a Entrepreneurs elect the S-Corporation to help reduce seif-employment taxes and to avoid double taxation than occurs with regular C-Corporation. The disadvantage of an S-Corporation is that it doesn’t allow for many of the fringe benefits that a C-Corporation does. There are also some restrictions as to who can file for S-Corporation status. Limited Liability Company (LLC) Although the LLC is not a Corporation, it provides many of the same benefits as a Corporation.
This is another option that is often attractive to small businesses because it provides the limited
liability benefits of a Corporation with the “pass-through” taxation of a sole proprietorship or Last but not least, the ownership restrictions subject to S-Corporations are not applicable to the LLC making this structure ideal for foreign investors. And most important, a Nevada LLC provides excellent asset protection. If a creditor were to take ownership of a member’s interest in a Nevada LLC, the LLC can:
For this reason most attorneys will not have their creditor client place a lien on a member’s ownership interest of a Nevada LLC because of the creditor’s potential tax obligation. A lien on a Nevada LLC only results in what is called a “charging order”, which only gives the creditor rights to any distributions made by the LLC to that particular member, but little else.  Click
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NOTICE:
We are not attorneys and are not permitted to give legal advice. NRS 7.285. It is our intent to assist clients in representing themselves in legal proceedings. |
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