Preston Law Office
corporations and llc’s
corporations
A corporation is a legal entity that is recognized by the law as a person. It has its own legal identity. A corporation will have it’s own Tax Identification Number in the form of an Employer Identification Number, regardless of whether it actually has employees or not. a corporation files a tax return. A corporation can own real estate, cars, bank accounts and anything else that a person can own. For all legal purposes, the corporation is a person.
A corporate entity is a useful manner of doing business as it can, if done correcly, sheild the owners from various types of personal liability and sheild their personal assets from being taken to satisfy a judgement or other debt of the corporation. There are many different factors that go into doing this correctly.
llc’s
An LLC or Limited Liablility Company is also a legal entity in much the same way that a corporation is a lgal entity. An LLC can own property, vehicles and other possessions. There are a lot of formalities that must be observed and followed strictly with a corporation in order to continue to be treated legally as a separate person. if you do not maintain all these reqiuirements then you can lose the separate legal treatment.
The requirements and formalities for an LLC are significantly less. This is especially useful since many LLC’s are owned and run by solo individuals, a family or a small group of individuals. The tax treatment and accounting necessary is also more manageable. We can discuss all these issues and decide which coporate form is the best for you.
Office Hours
M-F – 9:00 am to 5:00 pm
Saturdays – By appointment
Preston Law Office
Contact Info
631 18th Street N., Bessemer, AL 35020
(205) 426-4525