Interested in forming an LLC? Read the advantages that come with using an LLC formation service to set up your company with a strong foundation.
Setting up an LLC legally and officially can be stressful. There are a number of steps you are required to fulfill (subject to your specific state) that can eat into your time. Therefore, hiring an LLC formation service is recommended by the experts at TRUiC. This comes with numerous additional benefits that you might have not realised.
Benefits of hiring an LLC formation service
- More free time
- Keep costs low
- Access to wider features and services
- Assist with setting up other types of business structures
- Legal and business advice throughout your LLC’s lifetime
- Read these reviews on the top LLC formation services in the US.
More free time
What entrepreneur does not need more time? Every second counts. Therefore, a major benefit of hiring an LLC formation service is that the professionals complete the formation process for you. Leaving you with more freed up time to develop your business and direct your attention elsewhere.
The LLC formation service will fulfill all the steps required by your state. Typically, a basic package will offer all essential products needed to form an LLC. Therefore, you can expect:
- The registered agent service to be taken care of,
- Operating agreement to be created,
- A CPA assessment.
- A CPA assessment provides you with a professional evaluation of your company’s finances as well as a recommendation of a CPA specifically suited to your business (at no cost).
Keep costs low
This will spark the interest of any entrepreneur (especially those running start-ups). Opting to use a formation service can, in the end, keep your costs down. Hiring an LLC formation service ensures the official and legal formation of your LLC the first time round. Additionally, many LLC formation services offer essential products needed to properly form your LLC. By the time you have hired a registered agent service (or employed one to do it for you), hired a lawyer to draft your operating agreement, hired a CPA for your CPA assessment and so on, you can see how the costs could add up. Making use of an annual/monthly subscription (from an LLC formation service that offers all essential, and/or beneficial, features) would help keep costs down.
Access to wider features and services
Depending on which LLC formation service you choose, you may have additional benefits that come with the formation package. These benefits can be:
- Getting an Employer Identification Number (EIN)
- Assisting with a compliance guarantee
- Setting up your domain registration
Usually, as you climb higher to the LLC formation service’s top packages, you can expect further advantages and features such as business email, website, and domain privacy.
Assist with setting up other types of business structures
Should you be interested in setting up a business structure that is not an LLC, certain LLC formation services go a step further and offer to assist with the formation of these as well. This can include structures such as:
- Nonprofit- these are charitable organisations (with possible tax exemptions).
- Sole proprietorships- operated by a sole trader (the owner) who has the right to obtain the entirety of the profits made.
- DBAs- Doing Business As (a trade name/ a name other than the owner’s legal name).
- Corporation- this can be a C-Corp (an officially legal entity separate from its shareholders and subject to double taxation) or an S-Corp (where the tax classification, owner and/or member is considered to be an employee earning a salary).
Legal and business advice throughout your LLC’s lifetime
If your company requires professional legal and business advice/assistance throughout its lifetime, there are LLC formation services out there that can help. There are services that can provide ongoing legal services that extend after your LLC has been formed.