Types of Corporations

So...you have done your research and decided to incorporate your small business due to the benefits they offer. Great! The next step is to choose the type of corporation based on business activity and taxation.

Here at DoMyLLC our trained incorporation specialists understand the needs of small businesses and are dedicated to providing excellent customer service. Incorporating with DoMyLLC takes 15 minutes of your time. Simply place an order and provide a signature if needed. We make it that easy to DO.

Have Questions? Speak with a DoMyLLC specialist at (888)-DoMyLLC (366-9552).

Packages starting at $99

Four Different Corporation Types:

· General for Profit Corporation
· S-Corporation
· Professional Corporation
· Non Profit Corporation

General for Profit Corporation

A General for Profit Corporation is a separate legal and tax entity from its owners, directors and officers. A Corporation in a sense can be thought of like a person. Corporations can earn money, build credit, be sued and sue just like an individual. Because this structure separates owners from the company, they are not required to pay income tax on money the company makes. The owners are only required to pay taxes on the money they draw from the corporation. The corporation will pay tax on the money it makes just like an individual would. For more information on General for Profit Corporations click here.

S-Corporation

An S-Corporation is a General for Profit Corporation that has elected S-Corporation tax status. The main difference with an S-Corporation is that all the profits of the company will pass through the business to the shareholders (owners) to report with their individual income tax return. The corporation itself does not pay income tax like it does in a General for Profit Corporation.

A new filed corporation has 75 days from the date of formation to elect this tax status with the IRS in order to be taxed accordingly. For more information on S-Corporations click here.

Professional Corporation

A Professional Corporation is designed for companies providing professional services by the state. Each state has different regulations however, if the state has deemed a corporation's business activity to be a professional services, then the business must file this structure instead of a General for Profit Corporation. Most states consider the following professional services:

· Legal Services
· Medical Services
· Financial Services

** Please note that the requirements vary state to state and prior to filing a Professional Corporation we encourage you to speak with a lawyer and your licensing board for specific state requirements.

For more information about Professional Corporations click here.

Non Profit Corporation

A Non Profit Corporation is exactly what it says, “Non Profit.” Unlike a C-Corp, Non Profits do not have stock, hence they have no owner. Once the Non Profit is filed with the state, the next step is to file a federal tax exemption 501C with the IRS. This allows the company to become tax exempt. Under this tax code the company is not allowed to pay dividends and if the company is ever dissolved all assets must be distributed to another non profit corporation. For more information on Non Profit Corporations click here.

No matter what type of corporation you are filing, DoMyLLC is here to help you along the way. We will ensure your Articles are filed properly with the state so you can focus on running your business.

Packages starting at $99

Ready to form a Corporation? ORDER NOW!

For more information on how we can help file a Corporation for your business please call our office toll free at (888)-DoMyLLC (366-9552).