I used to think I needed to be a “big player” before even thinking about
incorporating. Then I learned two facts that shook up my little snow globe.
Odds of audit for a Sole Proprietor (SP) are 3 in 100.
Odds of audit for a Corporation (Corp) are 0.5 in 100.
EVEN IF you have done everything correctly and even if you have kept good
records, an audit will cost you in time, inconvenience and loss of focus on your
business. I like the odds of a Corp a lot better than an SP.
If you are ever sued for anything, if the judgment is against you, and if that
judgment is for an amount greater than you can pay – guess what? The Court
can garnish a percentage of ALL FUTURE income from ALL SOURCES until the
judgment amount is paid in full.
HOWEVER, if your business is incorporated, you and your corporation are
two separate “legal persons.”A plaintiff could sue you OR your corporation,
but NOT BOTH.
Lawyers call that “liability-protection” or “asset-protection.” I call it “mandatory”
and “common sense.” Is Incorporating right for you? Is this the right time for you
to Incorporate? How can you know for sure?
I made arrangements for you to get a FREE, zero-sales-pressure phone
consultation with the same firm that I use to form my own legal entities –
both corporations and LLC’s.
After you talk with them, IF you decide you are ready to incorporate,
I have pre-negotiated TWO HUGE BENEFITS for you, as my subscriber:
1. You will immediately save $200 off their normal-$750 all-inclusive fee to
set up your corporation (you pay only $550 and that covers everything).
2. They will produce ALL of your required Corporate Record Book documentation
for a full year FOR FREE! and they will provide you with free audit protection.
(They normally charge a very reasonable $295 for these services, but they are
free bonuses if you engage them this week to form a corporation or LLC for you).
To get more information and to check-out the extra discounts and benefits, see this webpage: http://www.homebusinesstaxsavings.com/businessentity.html
That’s #10 of the 12 best tips I can give you to legally slash your 2014
taxes to the bone.
SEARCH THIS BLOG for “Special Edition 11 of 12” tomorrow