Business Formation
Setting up your business entity correctly from the start, including LLC, S-Corp, or partnership formation with state registration and EIN acquisition.
What This Is
Business formation is the process of legally creating your business entity. That includes deciding which structure fits your situation, filing the formation paperwork with the state, obtaining a federal Employer Identification Number, and making sure the foundational pieces are in place before you start operating.
Most people focus on the filing itself, but the entity decision matters more than the paperwork. Choosing between an LLC, S-Corp election, or partnership affects how you pay taxes, how you take money out of the business, and what your personal liability looks like. Getting that decision right at the start saves you from restructuring later.
What Gets Done
What Gets Done
Entity type recommendation based on your situation. Articles of Organization or Incorporation filed with the state. EIN obtained from the IRS. S-Corp election filed when appropriate. Initial operating agreement or partnership agreement guidance. Registration with state tax authorities when needed.
How It Works
How It Works
We start with a conversation about what you do, how you plan to make money, and who else is involved. From there we recommend an entity structure, file the formation documents, secure your EIN, and walk you through the first steps of running the business properly from day one.
Why This Matters
The entity you choose affects your taxes for as long as the business exists. A sole proprietor pays self-employment tax on every dollar of profit. An S-Corp owner pays themselves a reasonable salary and takes the rest as distributions that avoid self-employment tax. The difference can be thousands of dollars a year, but only if the structure fits your income level and the election is filed on time.
Filing the wrong way or skipping steps creates problems that show up later. A missed S-Corp election deadline means another year as an LLC paying full self-employment tax. A registered agent address that goes stale means missing a lawsuit notice. An EIN application filled out incorrectly means correcting it with the IRS down the road. These are not the kind of details you want to figure out by mistake.
The Tax Question
The Tax Question
Single-member LLC, multi-member LLC, S-Corp election, partnership, C-Corp. Each one is taxed differently. The right answer depends on your expected income, whether you have partners, how you want to take money out, and what your long-term plans are. Picking the wrong one costs money every year you operate.
The Liability Question
The Liability Question
Operating as a sole proprietor means your personal assets are exposed to business liabilities. Forming an entity creates separation, but only if you set it up correctly and maintain it. Mixing personal and business funds, skipping required filings, or operating outside the entity structure can undo the protection you thought you had.
What Changes
You start operating with a structure that actually fits your business instead of whatever was easiest to file online. The tax election is in place. The EIN is active. The state registration is current. You can open a business bank account, sign contracts under the business name, and start operating without wondering whether you missed something.
You also start with a bookkeeping foundation that works. We can set up QuickBooks Online from day one so transactions are coded correctly, owner contributions and distributions are tracked separately, and the books reflect the entity structure properly. That makes the first tax return straightforward instead of a cleanup project.
A Structure That Fits
A Structure That Fits
The entity matches how you actually operate. If an S-Corp election makes sense for your income level, it gets filed within the window. If a multi-member LLC is the right call for you and a partner, the operating agreement reflects how you intend to share ownership and profits. Decisions get made before they become problems.
A Clean Starting Point
A Clean Starting Point
Formation documents on file. EIN in hand. State tax registrations complete where needed. Bank account opened under the right name with the right documentation. You can move forward and focus on running the business instead of patching together missing pieces later.
Trusted Accounting for Small Businesses
First Step:
Start With a Call
Tell us about your business and what you need help with. We'll ask a few questions, evaluate your current situation, and let you know how GMJ can support your books, taxes, and day-to-day operations.
