The Virginia LLC is designed specifically for small business. It has all the advantages of a corporation but without the disadvantages.
With the number of lawsuits constantly increasing, it is important to have protection of your personal assets. The limited liability company and the corporation are both ways to keep your assets and the businesses assets separate and offer equivalent amounts of liability protection.
VIRGINIA LLC IS A LESS COMPLICATED LEGAL ENTITY
A Virginia LLC has advantages over a corporation because you gain a legal entity that is much simpler. A Virginia limited liability corporation has none of the required statutory legal formalities of a corporation, making it easier to maintain.
VIRGINIA LLC IS MORE FLEXIBLE
The LLC also provides a much more flexible business vehicle. Owners are able to tailor the way the business is run in accordance with their own rules.
However, when you run your business with a Virginia corporation, you must adhere to the statutory framework, procedures and continuing requirements for maintenance, and you must have a Board of Directors.
VIRGINIA LLC HAS MORE TAX CHOICES
One of the main reasons the limited liability company in Virginia is so popular is because in 1997, the IRS passed the Check the Box Regulations which allows a Virginia LLC to choose its tax structure among a single level of taxation, C corporation or S corporation.
Now, a business can obtain the benefits of corporation taxation but still keep all the state law benefits and simplicity of the limited liability company.
ANNUAL FEES FOR A VIRGINIA LLC ARE SMALLER
Virginia charges a small annual fee to maintain the registration of a Va limited liability company. This fee is currently $50. This fee is a set fee regardless of the number of members of the # of shares issued.
Compare this with a corporate annual fee that will be a minimum of $100 and can be much more. When a corporation's equity structure grows increasingly complex or added stock shares are issued, the corporation's fee rises significantly. It can rise to as high as $1,700 yearly.
SUMMARY
When you form a Virginia LLC , you get a versatile protection vehicle for your business. While a corporation may be more suitable for larger and complex businesses, the Virginia limited liability company is more suitable for the typical small business. - 16890
With the number of lawsuits constantly increasing, it is important to have protection of your personal assets. The limited liability company and the corporation are both ways to keep your assets and the businesses assets separate and offer equivalent amounts of liability protection.
VIRGINIA LLC IS A LESS COMPLICATED LEGAL ENTITY
A Virginia LLC has advantages over a corporation because you gain a legal entity that is much simpler. A Virginia limited liability corporation has none of the required statutory legal formalities of a corporation, making it easier to maintain.
VIRGINIA LLC IS MORE FLEXIBLE
The LLC also provides a much more flexible business vehicle. Owners are able to tailor the way the business is run in accordance with their own rules.
However, when you run your business with a Virginia corporation, you must adhere to the statutory framework, procedures and continuing requirements for maintenance, and you must have a Board of Directors.
VIRGINIA LLC HAS MORE TAX CHOICES
One of the main reasons the limited liability company in Virginia is so popular is because in 1997, the IRS passed the Check the Box Regulations which allows a Virginia LLC to choose its tax structure among a single level of taxation, C corporation or S corporation.
Now, a business can obtain the benefits of corporation taxation but still keep all the state law benefits and simplicity of the limited liability company.
ANNUAL FEES FOR A VIRGINIA LLC ARE SMALLER
Virginia charges a small annual fee to maintain the registration of a Va limited liability company. This fee is currently $50. This fee is a set fee regardless of the number of members of the # of shares issued.
Compare this with a corporate annual fee that will be a minimum of $100 and can be much more. When a corporation's equity structure grows increasingly complex or added stock shares are issued, the corporation's fee rises significantly. It can rise to as high as $1,700 yearly.
SUMMARY
When you form a Virginia LLC , you get a versatile protection vehicle for your business. While a corporation may be more suitable for larger and complex businesses, the Virginia limited liability company is more suitable for the typical small business. - 16890
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