Legal Question in Business Law in Washington
I plan to open carpet cleaning company.I need financial protection (in case somebody will sue me) and save money.I plan to do cleaning with my son for now with future growing buieness.What is the betterLLC,INC or something else? Of course i will have bond and insurance.Thanks
1 Answer from Attorneys
Generally, for such a small business, a limited liability company ("LLC") works better but not so much for liability purposes, since both LLCs and corporations provide some protection of your personal assets. Rather, it is because an LLC can have tax advantages that a corporation will not have on this small of a scale. My suggestion would be for you to talk to a CPA regarding the tax consequences of your decision. This is especially true since you will carry a bond and insurance. If you are properly insured and bonded�meaning for the right amount�then liability should not be your main concern when deciding between an LLC and a corporation.
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