Corporation or LLC?
For most small business owners, there are three entity structures to consider-(1) the S-Corporation; (2) the Limited Liability Company; or (3) the Series LLC. There are other options, such as the Limited Partnership, the C-Corporation or the Limited Liability Partnership, to name a few. However, almost all of our small business and real estate clients utilize an LLC, an LLC taxed as an S-corporation or a Series LLC.
The LLC & Series LLC
The LLC Taxed As an S-Corporation
The LLC’s flexibility includes options in how the LLC will be taxed. An LLC can be taxed as a sole proprietor (the single-member disregarded entity), a partnership or even an S-corporation. Given the asset protection features, ease of maintenance and flexibility of the LLC, it is often advantageous to form an LLC to be taxed as an S-corporation, rather than forming a corporation to be taxed as an S-corporation.
