Starting a New Business? We Can Help

Our Service Fee: $325

At OnTheMark Taxes (OTM Taxes), we charge a flat fee of $325 to help you open a new company. After you provide the necessary information, we will send you an invoice through Square, which you can conveniently pay online using a debit or credit card.

What’s Included:

  1. Articles of Incorporation: We will file these with the state of Florida, enabling you to open a business bank account.
  2. EIN Letter from the IRS: This essential document allows you to establish your business bank account.
  3. Completed W9 Form: For your records, ready to provide to employers or anyone requesting your business information for tax purposes or payments.
  4. Form 2553 or 8832 with Instructions: If needed, we will prepare and provide these forms for your specific business requirements.

Information Required from You:

To get started, we’ll need the following details:

  1. Company Name: Please choose a unique name to ensure availability.
  2. Company Address: Provide the complete address for your business.
  3. Names of Company Members: Include the names of all individuals involved in the company.

Next Steps:

Complete our online application form by clicking the link below: [CLICK HERE FOR APPLICATION]

Additional Information:

To determine the best type of company for your needs and how it aligns with your personal tax filing, consider the following questions. If you’re unsure, feel free to email us for guidance:

  1. Business Purpose: What is the primary function of your business?
  2. Initial Financial Outlook: Do you anticipate a profit or loss at the beginning?
  3. Current Tax Filing Method: How do you currently file your personal taxes (e.g., W2 or 1099-misc/self-employed)?

Our Process

  1. Complete Application Form: Begin by filling out our straightforward application form.
  2. Make Payment: You’ll receive an email from OnTheMark Taxes (OTM Taxes) via Square. You can make the payment securely online using a debit or credit card.
  3. Application Processing: OTM Taxes will handle the processing of your application with the State of Florida.
  4. Receive Articles of Incorporation: The State of Florida will email you your articles of incorporation directly.
  5. Forward Email: Forward the email from the State of Florida to mark@otm-taxes.com.
  6. Receive Completed Forms: OTM Taxes will email you back all the forms included with your initial cost.

Importance of Incorporation

Incorporating your business can lower your personal tax liability and assist you when filing your personal tax return. Here’s a breakdown of what incorporation means and the benefits it offers.

What is Incorporation?

Incorporation transforms your business from a sole proprietorship or general partnership into a formally recognized entity by the state. This new structure can be either a limited liability company (LLC) or a corporation (corp). Incorporating separates your business legally from its founders, offering benefits like personal liability protection and increased credibility. Here, we’ll focus on LLCs and two types of corporations: S corps and C corps.

Benefits of Incorporation

No matter which incorporation option you choose, some benefits include protection from personal liability and enhanced business credibility. Each type has specific advantages and disadvantages.

LLC vs. Corporation

Choosing the right structure is crucial for your business’s success. Here’s what you need to know about LLCs and corporations:

Limited Liability Company (LLC) Benefits

  1. Personal Liability Protection: LLCs shield business owners (members) from personal liability for business actions, safeguarding personal assets.
  2. Management Flexibility: Unlike corporations, LLCs don’t have a rigid management structure.
  3. Pass-Through Taxation: Taxes aren’t paid at the business level. Instead, income or loss is reported on your personal tax return.

Corporation Characteristics

  1. Taxation: S corps, like LLCs, are pass-through tax entities. C corps are taxed separately, and profits distributed as dividends are subject to double taxation.
  2. Business Losses: S corps allow owners to use business losses as personal tax deductions, unlike C corps.
  3. Self-Employment Taxes: S corps can offer savings on self-employment taxes, unlike C corps.
  4. Ownership Restrictions: S corps have limitations, including a cap of 100 owners and restrictions on who can be an owner. LLCs and C corps don’t have these restrictions.
  5. Dividends and Venture Capital: C corps are preferred by venture capitalists due to the ability to issue different types of stock and higher potential dividends.
  6. Earnings: C corps can retain and accumulate earnings year-to-year, providing flexibility in financial planning.

Other Key Differences

  • Business Losses: S corps allow the use of business losses as personal tax deductions.
  • Self-Employment Taxes: S corps offer potential savings on self-employment taxes.
  • Ownership Restrictions: S corps have more limitations compared to LLCs and C corps.
  • Dividends and Venture Capital: C corps attract investors due to their dividend potential and stock flexibility.
  • Earnings: C corps can retain earnings across fiscal years.

By understanding these distinctions, you can make an informed decision on the best structure for your business. If you have any questions or need further assistance, please contact us at mark@otm-taxes.com.