2 ms·
I have a California LLC (sole prop) which is a disregarded entity for tax purposes. LLC is perfect if: a) you don't plan on raising investor capital b) are
by nodesocket 10y ago
I have a California LLC (sole prop) which is a disregarded entity for tax purposes. LLC is perfect if:
a) you don't plan on raising investor capital
b) are a single founder, who just wants liability and corporate benefits and protections
c) want to easily pass money from the business to personal
Do be aware there is a flat $800 a year California LLC fee even if you don't make a cent (which is unfair and anti-small business), but is what it is.
- enraged_camel 10y agoFYI the $800 fee is forfeited during the LLC's first year of operation. BUT it's based on calendar year IIRC, so if you're penny-pinching, it may be worth waiting until January to file the paperwork. That way you get all 12 months' worth!