Business Comparison Chart
Choose a Type of Business
Before you begin the incorporation process, you will need to choose a business structure. The Company Corporation can help you form a new corporation or Limited Liability Company (LLC) in any state. There are plenty of options when it comes to deciding whether to incorporate or form a partnership or act as a sole proprietor; take your time and let The Company Corporation Business Comparison Chart help you through the process. Please review our chart below for the advantages of forming a C Corporation, Subchapter S Corporation, or LLC.
|C Corp||S Corp||LLC||General Partnership||Sole Proprietor|
|Owners have limited liability for business debts and obligations|| |
|Created by a state-level registration that usually protects the company name|| |
|Business duration can be perpetual|| |
|May have an unlimited number of owners|| |
|Owners need not be U.S. citizens or residents|
|May be owned by another business, rather than individuals|| |
|May issue shares of stock to attract investors|| |
|Owners can report business profit and loss on their personal tax returns|
|Owners can split profit and loss with the business for a lower overall tax rate|| |
|Permitted to distribute special allocations, under certain guidelines|| |
|Not required to hold annual meetings or record meeting minutes|
At The Company Corporation, we realize that not all questions can be answered simply by a chart. Where it concerns your business, you may likely have more in-depth questions such as, "Can a partnership become incorporated?" or "Should I incorporate or stay a sole proprietor?" or even "Can I incorporate a sole proprietorship?" Our team of incorporating specialists can help you make the right decision for you and your business, as well as equip you with a more in-depth understanding of the benefits of a sole proprietorship vs incorporation, or other business structures. Call us today and let us help you!