Fill Form 2220 Entities 2022-2023

Hey my name is Keith hole I'm a CPA and I work exclusively with small business owners just like you we spend a lot of time talking about lots of different issues but maybe the first thing you need to think about is what entity form are you going to operate under are you going to be a corporation an LLC a partnership maybe a sole proprietorship an important question so let's talk a little bit about being a corporation some pros and some cons now the corporation probably is the oldest form of organization the one that is most notable most recognized by people those are what you see on the New York Stock Exchange NYSC you see the little I NC after companies names General Motors American Airlines all of those companies are corporations so that may be a nice feel-good I don't want to put that as a pro or a con but is kind of the most recognizable entity now one of the main benefits of a corporation is protection of its shareholders from the liabilities of the company the corporation is a complete separate legal entity from its owners so the company has losses the company has an accident gets sued by someone the shareholders are protected from any of the assets of that corporation so the maximum amount of money a shareholder can lose is whatever they've invested in the company via their shares just like you would invest in American Airlines the most you can lose is the value of the stock so that's one of the main benefits of operating as a corporation another key benefit of operating as a corporation is kind of the intangible benefit of this prestigious form of organization people recognize the company as a bigger organization so...