Choosing the right legal structure for your small business is a pivotal decision, and often, the dilemma lies between Limited Liability Companies (LLCs) and S Corporations.

Choosing the right legal structure for your small business is a pivotal decision, and often, the dilemma lies between Limited Liability Companies (LLCs) and S Corporations. LLCs offer owners limited liability protection, meaning personal assets are shielded from business debts, while also allowing for flexible management and tax options. S Corporations, on the other hand, provide pass-through taxation, enabling profits and losses to be reported on individual tax returns, potentially reducing overall tax liability. However, S Corporations come with stricter ownership rules and have a cap on the number and type of shareholders. The choice between the two ultimately depend on your business's specific needs, goals, and ownership structure, so consult with a legal or financial professional to make the right choice for your unique circumstances.

If you're a small business owner and have questions about LLCs and S Corporation, give us a call at 253.858.5434 to set up an appointment today.