LLC vs S Corp vs C Corp | Which Business Entity Should I Choose

Do you want to hire someone to help you form your LLC and even serve as your Registered Agent? My top recommendation for years has been Northwest. They have the best customer service! (I secret-shopped them to make sure!)
I am now an affiliate of Northwest, which means I get paid a commission for purchases made through the link, at no additional cost to you. This helps support the channel so I can make even more videos and tutorials for you all!

--

Are you trying to decide which business entity to choose, between Limited Liability Companies (LLC), S Corporations, and C Corporations?

There are two overall issues - which legal entity is right for your small business, and which tax status is appropriate. In this video I share the many factors you should consider when selecting a business entity for your company, and which entity is right for what situation.

00:00 Intro
01:35 LLC vs Corporations
05:37 Tax Status: Sole Proprietor/Partnership vs S Corp vs C Corp
11:03 Bottom Line: What’s the Right Entity for You?

Join this Patreon to support the channel & get access to perks:

Did you find this video helpful? Feel free to send a tip to enable me to keeping making more videos!

Legal Disclosure: Elizabeth is licensed to practice in the state of California and before the United States Patent and Trademark Office. Information contained in this video is not legal advice – please seek advice of counsel. This video and description may contain attorney advertising.

Disclosure: My videos may contain reviews, recommendations, testimonials, or endorsements of other businesses, individuals, events, materials (such as books), products, services, or websites. I may receive affiliate percentages on sales; if so, it will say “affiliate link” after the link. I will clearly disclose if I have received a free product, free service, discount, or any other compensation related to a review.

Comment policy: I reserve the right to delete comments and block anyone from the channel due to threats, hostility, or spam.

#businessentity #llc #scorp #ccorp

[TaraWagner]

Okay, I love the way you emphasize how it is being broken down between the structure and how it will be taxed. Perfect!

[stormbytes]

Wow FINALLY someone who actually KNOWS what they are talking about and conveys it SUCCINCTLY. What a breath of fresh air!

[dolapofox]

I just recently form a LLC, and I am a 1099 independent contractor. My employer insist on paying me in my name and not into my LLC bank account because he hired me as a provider at his clinic and not my LLC. Would it be okay to deposit the paycheck in my name into my LLC? Thank you

[valenemadrid]

If my LLC is taxed as an S corp will I still be required to pay the $800 tax fee yearly? Also, how can I find out if Body Sculpting can become S Corp? and thank you so very much for all your video and help... so appreciated.

[sefyliv]

3 Long question. Sorry.

U mentioned c corporations can hold money in there after salary and all other corporate expenses paid to employees. C corp will pay tax on corporate earnings. 21%.earned that tax year. Money left in c corp name in the ank earned 5% and earned during that period. So corp will pay tax when filling next year? C Corp funds still not used for investment because waiting for right opportunity to invest. How long money not used for investment can be left in corp after employees paid. And any IRS publications that gives clear guidance and all rules to hold and distribute money to employees to minimize corporate and employee taxes?

[BeyondTheGrindLife]

This video was incredibly helpful in my understanding how an LLC is different than an S-Corp. I also wanted to know how to pay myself if I go to S-Corp, and you touched on that, too.
Thank you!

[patriot_killa]

Hello Elizabeth. Thank you for the video it was great. If I was looking to start an investment firm what do think would be the best LLC, s-Corp, or c-Corp? Thank you.

[Doaiie]

Hi Elizabeth! Thanks for making this video. It was very informative. If an LLC has contractors as employees (1099), would an S corp be ideal?

[goldstandardhvac]

Im just starting out with my hvac business and when I applied for my license I chose corporation. Now I don't know if I should of gone LLC or S corp. I was setup as C corp and I did have to pay that double tax and im a single owner lol. What advice can you give me, should I stay as a corporation? I do eventually want to grow my business to maybe mid size not too big. Thanks!

[VrR-uthp]

Hello quick question how do Inapply for a SEIN I DID OBTAIN THE EIN # BUT ITS ASKJNG ME FOR SEIN I JJST DID A S CORPORATION

[TonyIbanez-hr]

love your videos... im just getting my wholesale dealer license(usd car sales to auctions or other car dealers only.. not to public)
, would you know how these type of business are set up as? im thinking s corp but not sure..

[yosefabramov]

I have a C corp, I am an electrician, not making much, and paying taxes. What would you recommend?

[SantanaCreate]

So if my company is LLC taxed as a C corporation, and I wanted to go public with my company would I have to convert my LLC into a C corporation?

[fabriciosoto]

Hi Elizabeth
Are you taking new clients?? I hope you can help me with my business entity
Thank you

[almeqdadtannan]

Thank you so much for all videos, I watched a lot of videos but your videos are the best.


I will start business online and maybe in future it'll be visual.

My DBA still in process in Santa Clara county.
Can I change in future from DBA to S Corp?

[brittanyblack]

Thanks so much for the education and information! This was very succinct and easily understandable.

[Dilnawazkhan]

Hi mam I want to open my compny in USA . I have my watches brand . What type of compny is good for me .

[obikanobi]

Hi Elizabeth. Thank you for making such great content. I wanted to know if it's a better option to elect to pay taxes as an S Corp with an llc than opening a new S Corp

[yolupita]

Can someone with a valid SS number but without a green card yet can be a shareholder/owner of a corporation?

[KickerHandle]

So we can open an llc that behaves like an s corp from tax point of view but do banks see it that way?