The best business structure depends on several factors. LLCs, C-corps, and S-corps are the most popular business structures to register.

• LLC: Limited Liability Companies (LLCs) are relatively simple to set up and maintain. You can have an LLC with a single owner or multiple owners. LLCs have pass-through income that flows through to your personal tax return, making taxes straightforward.

• C-corp: A C-corp (the “standard” type of corporation) is popular for businesses that want to attract investors. Corporations are subject to their own tax, while owners pay tax on dividends. This may or may not be an optimal tax structure for you, depending on your specific situation.

• S-corp:. Both an LLC and a C-corp can elect to be taxed as an S-corporation. You don’t have to do this when you first form your business; it can be done later. The S-corp election can provide significant tax savings in the right circumstances. 

Learn more about the pros and cons of LLCs, C-corps, and S-corps here.

Some of the other types of entities we register include, but are not limited to:

• Limited Liability Partnership (LLP)
• Limited Partnership (LP)
• Nonprofit
• Offshore Asset Protection Trust
• Puerto Rico Corporation

Our attorneys can help you select a business structure that best meets your needs.

The best location for your business registration depends on your business structure and your specific goals.

Tax Considerations:

• State Taxes: Your personal taxable income will always be subject to income tax regulations in the state where you reside. Simply forming your business in a different state may not provide the tax benefits you imagine.
• Puerto Rico: Puerto Rico Act 60 offers impressive tax incentives for qualifying businesses. If you qualify (and are willing to move to Puerto Rico), you could enjoy 4% income tax and tax-free corporate dividends.
• GILTI: Since the introduction of Global Intangible Low-Taxed Income (GILTI) in 2017, forming your business offshore may not provide much of a tax benefit. In fact, if you own an offshore business, your tax situation can be complicated by offshore disclosure tax forms.

Of course, taxes aren’t the only consideration when it comes to registering your business. Some states, like Delaware and Wyoming, are popular for their privacy protection and business-friendly regulations.

Gordon Law can help you register your business in any state, Puerto Rico, or even offshore. We’ll help you choose a structure and location that meet your specific needs.

It’s fairly straightforward to register your business online—that is, once you know which business structure is right for you and which state (or country) you should register in.

However, keep in mind that each year, many business owners come to us to fix mistakes they made during registration.

It’s true that a business formation attorney costs more. Our business formation services are $2,500 for most U.S. states and $3,500 for New York. 

Think of it as an investment in the long-term health of your business. A business formation lawyer can help you minimize taxes, maximize profits, and ensure you’re legally protected.

Gordon Law can serve as the Registered Agent for companies registered in Illinois. For companies registered outside of Illinois, we can help you find a reliable Registered Agent.

Beneficial Ownership Information Reports (BOI reports) are part of a new requirement that affects most LLCs, S-corps, C-corps, and other registered businesses.

Failing to file this report on time can result in significant daily penalties. Not to worry—our team can make sure it’s filed on time!