Business Organization Flushing NY

The pros and cons of corporations, LLCs, partnerships, sole proprietorships, and more. Find out everything you need to know about the different ways to organize a business so that you can make the best decision for your needs when starting a company.

Local Companies

Five Points Partners, LLC
(212) 505-5861
156 Fifth Avenue
New York, NY
Trial Listing
555-555-5555
50 5th Avenue
New York, NY
Metropolitan Mechanical Group
(718) 205-5900
7001 51st Ave
Flushing, NY
Meerae Financial Consulting
(718) 886-3463
16917 Northern Blvd
Flushing, NY
Infolink Management Inc
(718) 428-1865
19413 Northern Blvd
Flushing, NY
Integratrak Service Bureau
(718) 533-8361
3425 82nd St
Flushing, NY
Kew Gardens Hills Housing Assocs
(718) 380-0100
13846 78th A45D Ave
Flushing, NY
Mjw Consulting Inc
(718) 461-1310
3333 161st St
Flushing, NY
My Kitchen Management Co Inc
(718) 539-5039
3060 Whitestone Expy
Flushing, NY
Henn & Green Assocs
(718) 461-7170
3170 138th St
Flushing, NY

Business Organization

provided by: 
Type of EntityMain AdvantagesMain Drawbacks
Sole ProprietorshipSimple and inexpensive to create and operate

Owner reports profit or loss on his or her personal tax return

Owner personally liable for business debts
General PartnershipSimple and inexpensive to create and operate

Owners (partners) report their share of profit or loss on their personal tax returns

Owners (partners) personally liable for business debts
Limited PartnershipLimited partners have limited personal liability for business debts as long as they don't participate in management

General partners can raise cash without involving outside investors in management of business

General partners personally liable for business debts

More expensive to create than general partnership

Suitable mainly for companies that invest in real estate

Regular CorporationOwners have limited personal liability for business debts

Fringe benefits can be deducted as business expense

Owners can split corporate profit among owners and corporation, paying lower overall tax rate

More expensive to create than partnership or sole proprietorship

Paperwork can seem burdensome to some owners

Separate taxable entity

S CorporationOwners have limited personal liability for business debts

Owners report their share of corporate profit or loss on their personal tax returns

Owners can use corporate loss to offset income from other sources

More expensive to create than partnership or sole proprietorship

More paperwork than for a limited liability company which offers similar advantages

Income must be allocated to owners according to their ownership interests

Fringe benefits limited for owners who own more than 2% of shares

Professional CorporationOwners have no personal liability for malpractice of other ownersMore expensive to create than partnership or sole proprietorship

Paperwork can seem burdensome to some owners

All owners must belong to the same profession

Nonprofit CorporationCorporation doesn't pay income taxes

Contributions to charitable corporation are tax-deductible

Fringe benefits can be deducted as business expense

Full tax advantages available only to groups organized for charitable, scientific, educational, literary or religious purposes

Property transferred to corporation stays there; if corporation ends, property must go to another nonprofit

Limited Liability CompanyOwners have limited personal liability for business debts even if they participate in management

Profit and loss can be allocated differently than ownership interests

IRS rules now allow LLCs to choose between being taxed as partnership or corporation

More expensive to create than partnership or sole proprietorship

State laws for creating LLCs may not reflect latest federal tax changes

Professional Limited Liability CompanySame advantages as a regular limited liability company

Gives state licensed professionals a way to enjoy those advantages

Same as for a regular limited liability company

Members must all belong to the same profession

Limited Liability PartnershipMostly of interest to partners in old line professions such as law, medicine and accounting

Owners (partners) aren't personally liable for the malpractice of other partners

Owners report their share of profit or loss on their personal tax returns

Unlike a limited liability company or a professional limited liability company, owners (partners) remain personally liable for many types of obligations owed to business creditors, lenders and landlords

Not available in all states

Often limited to a short list of professions


Copyright 2008 Nolo
For more information visit Nolo Press

Featured Local Company

Five Points Partners, LLC

(212) 505-5861
156 Fifth Avenue
New York, NY
http://www.fivepointsllc.com/

Franchise Developer-Our mission at Five Points Partners is: To be the leading development company for innovative brands in geographically strategic markets. We will accomplish this goal by hiring, training, and empowering an ethical and responsible workforce and delivering a remarkable and value-driven customer experience.

Related Local Events
Commodities Trader
Dates: 7/15/2009 - 7/16/2009
Location: Bridgewater Days Inn Conference Center
Bridgewater, NJ
View Details

2nd Annual Enterprise RISK Management for General Counsel
Dates: 12/1/2009 - 12/1/2009
Location: Harvard Club of New York City
New York, NY
View Details

Executive Committee meeting
Dates: 12/3/2009 - 12/3/2009
Location: Edison Chamber of Commerce
Edison, NJ
View Details

Acquiring or Selling the Privately Held Company 2009
Dates: 6/11/2009 - 6/11/2009
Location: PLI New York Center
New York, NY
View Details

Corporate Compliance and Ethics Institute 2009
Dates: 6/4/2009 - 6/4/2009
Location: PLI New York Center
New York, NY
View Details
Rate Article
     
Articles Insider

Rss   Delicious   Digg   Add To My Yahoo   Add To My Google   Bookmark   Search Plugin

Topics:
Advertising Family Home Services Real Estate Resources
Business Services Fashion Industrial Goods & Services Retail & Consumer Services
Career Financial Services Insurance Software
Cars Food & Beverage Internet Technology
Computer Hardware Franchise Legal Telecommunications
Construction Health Miscellaneous Trade Shows
Education Holidays Nightlife Travel
Entertainment Home Appliances Online Database Weddings
Environmental Home Electronics Pets