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The LLC Set-Up: Setting Up a Limited Liability Company

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Setting up a LLC or limited liability company is considered as one of the biggest decisions a company could make. This form of business registration has a lot of implications for the operation and management of the company and can ultimately contribute to its success or failure. Having a good advice from an expert will be a great help for a company who wants to register in LLC. Advantages and disadvantages are present in LLC registration type and also one must exert additional time and money which is very much needed in the business. Looking for alternatives would be a great help before putting up a business.

The simplest form of business registration is a sole proprietorship. This is the easiest way of enrolling an individual who wants to put a public commerce and the nature of the business. Sole proprietorship business registration is mainly considered as one of the most direct form of business registration which includes minimal fee payments and obtaining business numbers which may permit the company to start the business. This will enable the individual to start up the new business and consider all of the fundamental things needed in liabilities and tax issues of the business.

Incorporation is the more complicated form of business registration. Issuing shares to others who are also interested to be part of the business and registering the business to a corporation is included. It is a must that one should ask help from a legal and financial adviser to make sure that the documents are in order in filling acts of incorporation. There should be a Board of Directors, officers of the corporation and arrangements in informing shareholders about what is going on in the company.  Somewhere in the middle of the previous two options is the option to set up an LLC. An LLC is more complex than a sole proprietorship and simpler than incorporation. Some benefits and incentives are present. Paying a lot more is one of LLC’s disadvantages and also it requires a lot of time. Once the business has been set up as an LLC or a limited liability company the advantages begin to kick in.  The major reason to set up an LLC is to protect the owner or owners of a business from liability.  Limitation of liabilities of the owners to the degree of investment is one of the objectives of an LLC. All other debts, responsibilities or liabilities that are incurred or caused by the operation of the business are not their responsibility. Providing taxation incentives is one of LLC’s main goals. No additional income tax is given to a limited liability company and they are only taxed once. Not like in Company Corporation that personal and corporate income are both taxed when dividends are distributed.

Asiabizservices is the leading Singapore Company Incorporation Services Specialists. It has successfully helped thousands of foreign entrepreneurs incorporate a Singapore company. Our office is located at Raffles Place, in the heart of the Singapore business district. (“CBD”) If you’re in our neighbourhood and want to discuss any aspect of our service then feel free to come in to our offices during business hours.

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